DEVELOPMENT
Abia State Climbs from 18th Under Ikpeazu to 4th Under Otti in 2025 Sustainability Ranking, Emerges Among Nigeria’s Most Fiscally Sustainable States.
Abia State has been ranked 4th overall in the 2025 State Sustainability Ranking, positioning the state among the most sustainable sub-national governments out of the 36 states of the Federation. The ranking, which assessed fiscal responsibility, expenditure efficiency, revenue strength, and debt sustainability, awarded Abia State a rank score of 2.55.
According to the 2025 assessment by BudgIT, Abia recorded a Normalised Index score of 51.0 per cent out of a possible 100 per cent, placing it firmly within the top tier of states demonstrating sustainable fiscal management practices in Nigeria. The evaluation was conducted using fiscal performance data from the 2024 financial year.
The ranking highlights Abia State’s growing capacity to balance public spending with revenue inflows while maintaining a manageable debt profile. In terms of capital investment, the state recorded a capital expenditure of ₦215.5 billion, reflecting a strong commitment to infrastructure development and long-term economic growth.
The state’s total expenditure for the year stood at ₦317.9 billion, with operating expenses accounting for ₦64.2 billion.
Abia’s gross allocation from FAAC amounted to ₦285.5 billion, with FAAC dependence recorded at 87.37 per cent, indicating continued reliance on federal transfers while internal revenue efforts are being strengthened.
Internally Generated Revenue (IGR) for the period under review stood at ₦41.3 billion, contributing to the state’s overall fiscal stability. The total public debt profile of Abia State was put at ₦221.9 billion, with the state ranked 22nd in the national debt sustainability assessment, reflecting a moderate and controlled debt exposure relative to other states.
Sectoral spending indicators also featured prominently in the sustainability analysis.
Abia State recorded health spending per capita of 7.7K and education spending per capita of 15.5K, underscoring sustained investments in human capital development as a foundation for long-term economic sustainability.
All these achievements were recorded under the administration of Alex Chioma Otti. This marks a significant turnaround in the state’s fiscal and sustainability profile, especially when compared to 2023, when Abia State, under the administration of Okezie Ikpeazu, was ranked 18th out of 36 states with a ranking score of 1.40.
The 2025 sustainability ranking therefore reflects not only improved fiscal metrics but a clear shift in governance direction, financial discipline, and economic planning, positioning Abia State as one of Nigeria’s leading examples of sub-national sustainability, responsible public finance management, and development-foc
used governance.
