Tinubu Seeks Senate Approval For $20.5bn, €1.04bn In External Loans

President Bola Tinubu has written to the Senate requesting approval for roughly $20.51bn and €1.04bn in foreign borrowing, meant to plug gaps in the Federal Government’s 2026-2027 supplementary external borrowing plan.

Senate President Godswill Akpabio read the President’s letter aloud at Tuesday’s plenary session.

It states that the amounts, precisely $20,517,755,901 and €1,045,083,643, will go toward closing Nigeria’s lingering infrastructure shortfall and filling major funding gaps in key socio-economic areas.

Power, transportation, healthcare, education, agriculture, water supply, security, job creation and financial management reforms are the main sectors the funds are meant to support.

“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 stressed that the projects were chosen after technical and economic assessments, with the aim of delivering the greatest impact on poverty reduction, skills development, 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.

After reading the letter, Akpabio observed that parts of the borrowing framework had already featured in earlier, broader government borrowing plans.

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He then referred the request to the Senate Committee on Local and Foreign Debts, chaired by Senator Haruna Manu, for thorough legislative scrutiny.

The Committees on Appropriations and Finance are expected to work with it.

“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 committee’s forthcoming review is expected to settle the timeline for disbursements and to assess how the supplementary request fits within Nigeria’s current debt management framework.