Abia State has emerged as Nigeria’s top-performing subnational in domestic debt reduction, according to new data released by the Debt Management Office (DMO).

This according to the DMO is a major financial turnaround under the leadership of Governor Alex Chioma Otti.

The DMO report, covering the period between March 31, 2024, and March 31, 2025, shows that Abia reduced its domestic debt by a staggering 57.20%, the highest drop among Nigeria’s 36 states.

This positions Abia as a standout in fiscal prudence at a time when many states are grappling with rising internal obligations and constrained revenues.

Following Abia on the list of states with the most significant debt reductions are Jigawa (-48.82%), Kogi (-47.12%), Katsina (-38.89%), and Delta (-38.87%).

Governor Otti’s financial stewardship has drawn commendation from economists and policy analysts who cite Abia’s trajectory as an encouraging sign of fiscal responsibility.

They note that the administration’s aggressive debt repayment strategy has not only improved the state’s creditworthiness but has also positioned Abia for increased investment, infrastructure development, and enhanced delivery of social services.

As preparations for the 2026 budget season gather momentum, analysts suggest that Abia’s example provides a compelling case study for prudent economic governance, while Taraba’s sharp debt escalation stands as a warning of the dangers of fiscal mismanagement.