Tinubu asks N’assembly to approve $20.5 billion, €1.04 billion foreign loans

President Bola Tinubu has asked the Senate to approve $20.51bn and €1.45bn in external borrowing to address funding gaps in the Federal Government’s 2026–2027 supplementary borrowing plan.

The President’s request was conveyed in a letter which Senate President Godswill Akpabio read during plenary on Tuesday.

According to the letter, the requested funds—specifically $20,517,755,901 and €1,045,083,643—are earmarked to address Nigeria’s persistent infrastructure deficit and bridge critical funding gaps across vital socio-economic sectors.

The primary targets for investment include power, transportation, healthcare, education, agriculture, water supply, security, job creation, and financial management reforms.

“I submit the attached Federal Government 2026–2027 Supplementary External Borrowing Plan for consideration and early approval of the National Assembly to ensure prompt implementation of our projects,” President Tinubu wrote.

He emphasized that the projects selected underwent technical and economic evaluations to maximize their impact on poverty reduction, skill acquisition, entrepreneurship, and national food security.

“In light of the need for significant infrastructure investment in the country and the vast financial resources needed to address this gap, it has become essential to pursue prudent external borrowings to close the financing shortfall,” the President added.

Following the reading of the letter during plenary, Akpabio noted that elements of the borrowing framework had previously appeared in broader government borrowing blueprints.

Akpabio formally referred the request to the Senate Committee on Local and Foreign Debts—led by Senator Haruna Manu—for detailed legislative review, with expected collaboration from the Committees on Appropriations and Finance.

“The borrowing plan is attached, but of course, this was even earlier approved in our budget, and also the external borrowing plan was approved as far back as 2025 to 2027,” Akpabio stated.

“However, this request will be looked at by the Committee on Local and Foreign Debts… to clarify the scope before further action.”

The Senate committee’s upcoming review is expected to determine the exact timeline for disbursements and evaluate how the supplementary request aligns with Nigeria’s existing debt management framework.