Senate Approves Tinubu’s $21 Billion Foreign Loan Plan

The Nigerian Senate has approved President Bola Tinubu’s external borrowing plan amounting to over $21 billion for the 2025–2026 fiscal period. This approval enables the full execution of the 2025 Appropriation Act, aligning all projected revenue sources, including external and domestic loans, with the national budget.

The approved borrowing package includes $21.19 billion in foreign loans, €4 billion, ¥15 billion, a $65 million grant, and domestic borrowing through government bonds, bringing the total to approximately ₦757 billion. It also allows for raising up to \$2 billion through a foreign-currency-denominated instrument within the domestic market.

The loan plan was presented by Senator Aliyu Wamako, Chairman of the Senate Committee on Local and Foreign Debt. He noted that the proposal was initially submitted to the National Assembly on May 27 but faced delays due to legislative recess and documentation issues from the Debt Management Office.

Senator Olamilekan Adeola, Chairman of the Senate Committee on Appropriations, confirmed that most of the loan components were already integrated into the Medium-Term Expenditure Framework and the 2025 budget. He emphasized that with the Senate’s approval, the government now has the financial framework required to fully implement the budget.