The external debt load of the 36 states and the Federal Capital Territory may increase to as high as over 40% due to the floating of the naira by the Central Bank of Nigeria (CBN). On June 13, 2023, the external debt stock of the states was about $4.46 billion or N2.09 trillion at the exchange rate of N471 per dollar as of December 2022.

According to Punch, after Nigeria devalued its currency, the debt stock climbed to N2.96 trillion at N663.04 per dollar, meaning the states will need revenue in naira to pay off their foreign loans.

By Wednesday, June 14, 2023, the apex bank asked all commercial banks to remove the rate cap on the naira at the foreign exchange market's official Investors and Exporters window, to enable its free float against the dollar and other foreign currencies.

The CBN said it is abolishing segmentation and that all segments are now collapsed into the Investors and Exporters window. According to FMDQ Exchange, the move led to immediate depreciation in the value of the naira, falling from N471 to a dollar to N664.04 to a dollar at the Investors and Exporters window. However, the local currency has continued to rise and fall on the Investors' and Exporters' window since the move by the CBN. Part of the reason given by the CBN is that it is working to unify the country's chaotic forex market in line with the directive of President Bola Tinubu during his inauguration speech on May 29, 2023.

External debt of the states stands as follows: Lagos: N828.84 billion
Kaduna: N380.42 billion
Edo: N173.16 billion
Cross River: N138.92 billion
Bauchi: 109.92 billion
Abia: N62,51 billion
Adamawa: N69.36 billion
Anambra: N68.84 billion
Bayelsa: N40.04 billion
Benue: N19.85 billion
Borno: N12 billion
Delta: N39.69 billion
Ebonyi: N38.84 billion
Ekiti: N70. billion
Enugu: N80.13 billion
Gombe: N21.54 billion
Imo: N33.88 billion
Jigawa: N17.89 billion
Kano: N66.75 billion
Katsina: N35.75 billion
Kebbi: N27.14 billion
Kogi: N35.01 billion
Kwara: N29.75 billion
Nasarawa: N35.14 billion
Niger: N45.90 billion
Ogun: N90.35 billion
Ondo: N60.13 billion
Osun: N60,85 billion
Oyo: N47.89 billion
Plateau: N21.48 billion
Rivers N57.77 billion
Sokoto: N24.24 billion
Taraba: N30.81 billion
Yobe: N14.93 billion
Zamfara: N19.14 billion
FCT: N16.15 billion

Many analysts expect that the naira will stabilise around N600 to a dollar.


https://www.legit.ng/business-economy/economy/1540522-nigerian-states-highest-external-debt-analysts-predict-increase-due-naira-devaluation/