Senate Approves Tinubu’s $6bn External Loan Request for Budget, Infrastructure
Senate Approves Tinubu’s $6bn External Loan Request for Budget, Infrastructure
Senate Approves Tinubu’s $6bn External Loan Request for Budget, Infrastructure
The Senate has approved President Bola Ahmed Tinubu’s request to secure fresh external loans totalling $6 billion, aimed at bridging fiscal gaps and financing key infrastructure projects.
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The approval followed the consideration of a report presented by the Chairman of the Senate Committee on Local and Foreign Debts, Senator Aliyu Wamakko.
The decision came hours after President Tinubu formally wrote to the Senate, led by Godswill Akpabio, seeking legislative backing for the loan facilities as part of efforts to fund priority sectors.
In his communication, the President requested approval to borrow $5 billion from Abu Dhabi Bank to support budget deficit financing and meet existing debt obligations. In a separate request, he sought approval for a $1 billion loan facility from UK Export Finance, arranged through Citibank in London, to fund the rehabilitation of critical port infrastructure.
According to the President, the projects—covering the Lagos Port Complex and Tin Can Island Port—are designed to address long-standing operational challenges, improve efficiency and safety, enhance trade capacity, and position Nigeria as a key maritime hub.
Following the presentation of the requests, the Senate leadership referred them to the relevant committee for expedited review, a process that culminated in their approval on Tuesday.
The latest borrowing move underscores the Federal Government’s continued reliance on a mix of domestic and external financing to fund budget deficits and strategic infrastructure.
Earlier, the National Assembly had approved a request by the President to raise N1.15 trillion from the domestic debt market to support the 2025 budget. Lawmakers noted that the budget, now pegged at N59.99 trillion—up from the initial N54.74 trillion—reflects a widening fiscal gap requiring sustained borrowing to maintain government spending and economic development plans.
Senate Approves Tinubu’s $6bn External Loan Request for Budget, Infrastructure
