Senate to review Tinubu’s $20.52bn, €1.045bn loan request

President Bola Tinubu has asked the Senate to approve a supplementary external borrowing plan worth $20.52 billion and €1.045 billion to finance infrastructure and development projects across Nigeria in the 2026–2027 fiscal period.

The request was conveyed in a letter addressed to Senate President Godswill Akpabio and read during plenary on Tuesday, October 27.

Tinubu said the proposed loans would support critical sectors, including power, transportation, healthcare, agriculture, education, water supply, security and employment generation, as well as reforms to public financial management.

According to the President, the borrowing plan is intended to address Nigeria’s infrastructure deficit and bridge funding gaps affecting the implementation of development projects.

He said the projects and programmes were selected following technical and economic assessments, with consideration given to their expected contributions to economic growth and social development.

Tinubu added that the initiatives were expected to create jobs, promote skills acquisition and entrepreneurship, reduce poverty and improve food security. Most of the proposed projects would be implemented across the 36 states and the Federal Capital Territory.

The President urged lawmakers to consider and approve the plan promptly, arguing that access to the proposed financing would help the government implement projects and meet its development commitments.

He maintained that the scale of investment required to address the country’s infrastructure challenges made external borrowing necessary to close the funding gap.

Following the presentation of the request, Akpabio referred the proposal to the Senate Committee on Local and Foreign Debts for further consideration, in collaboration with relevant committees on Appropriations and Finance.

The committees were directed to examine the proposal and report back to the Senate within one week, according to reports on the proceedings.

Akpabio also indicated that aspects of the borrowing plan had featured in earlier budgetary and borrowing arrangements, although the proposal remains subject to the legislative consideration required for the current request.

Figures from the Debt Management Office showed that the country’s total public debt stood at ₦166.79 trillion as of June 30, 2026, compared with ₦159.35 trillion at the end of March.

Domestic debt accounted for ₦91.59 trillion, while external debt stood at ₦75.20 trillion.

The new borrowing proposal is likely to draw attention to how the government intends to manage additional external obligations while funding infrastructure and other development priorities.