BREAKING: Tinubu seeks Senate approval for $20.51bn, €1.045bn external borrowing

President Bola Tinubu has asked the Senate to approve a fresh external borrowing plan involving $20.52 billion and €1.045 billion to fund critical infrastructure and address financing gaps under the Federal Government’s 2026–2027 supplementary borrowing plan.

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

According to the letter, the proposed borrowing comprises $20,517,755,901 and €1,045,083,643. The funds are intended to tackle Nigeria’s infrastructure deficit and address funding shortfalls across key socio-economic sectors.

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

In the letter, Tinubu urged the National Assembly to consider and approve the borrowing plan promptly to facilitate the implementation of the proposed projects.

“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,” the President wrote.

He said the projects had undergone technical and economic evaluations to ensure they would contribute to poverty reduction, skills development, entrepreneurship and national food security.

Tinubu also defended the proposed borrowing as necessary to address the country’s substantial infrastructure needs and close existing financing gaps.

“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,” he added.

Following the presentation of the letter, Akpabio observed that aspects of the borrowing framework had previously featured in broader government borrowing plans.

He subsequently referred the request to the Senate Committee on Local and Foreign Debts, chaired by Senator Haruna Manu, for detailed examination. The committees on Appropriations and Finance are also expected to collaborate in the review.

Akpabio said some elements of the borrowing plan had previously received legislative approval, but stressed the need to clarify the scope of the latest request before further action.

“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,” he stated.

He added that the Senate Committee on Local and Foreign Debts would examine the proposal and clarify its scope.

The committee’s review is expected to establish how the supplementary borrowing request relates to existing approvals and Nigeria’s debt management framework, as well as clarify the proposed disbursement arrangements.

The request will require further legislative consideration before the Senate reaches a decision on the proposed borrowing.

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