Tinubu seeks Reps’ approval for $20.5bn, €1.04bn supplementary external borrowing

President Bola Tinubu is seeking the approval of the House of Representatives for external loans totalling $20.52 billion and €1.045 billion under the Federal Government’s 2026-2027 Supplementary External Borrowing Rolling Plan, with the funds earmarked for infrastructure, agriculture, healthcare, education, security and employment generation.

The President’s request was contained in a letter read by the Speaker, Abbas Tajudeen, during Wednesday’s plenary session in Abuja.

In the letter, President Tinubu urged the House to consider and approve the borrowing plan early to facilitate the timely implementation of projects and programmes outlined by the Federal Government across critical sectors of the economy.

He said the plan covered several sectors, with particular emphasis on infrastructure, agriculture, health, education, water supply, economic growth, security and employment generation, alongside financial programmes and public financial management reforms.

Tinubu stated: “The total facility for the projects and programmes under the Borrowing Plan is $20,517,755,901 and €1,045,083,643 respectively,” adding that a breakdown of the proposed facilities was attached to the request for legislative consideration.

Explaining the rationale for the proposed borrowing, the President said the administration’s reform agenda and the need to accelerate national economic growth had made the approval of the supplementary external borrowing plan imperative.

He maintained that the projects and programmes were selected following technical and economic evaluations, with consideration given to their expected contributions to Nigeria’s socioeconomic development.

According to him, the initiatives are designed to generate employment, promote skills acquisition, encourage entrepreneurship, reduce poverty and strengthen food security, with the ultimate objective of improving the livelihoods of Nigerians.

The President further disclosed that most of the projects and programmes would be implemented across the 36 states of the Federation and the Federal Capital Territory, stressing the nationwide scope of the proposed interventions.

President Tinubu also highlighted Nigeria’s infrastructure financing gap, arguing that the scale of investment required to address the country’s developmental challenges necessitated additional external financing.

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“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 borrowing to close the financial shortfall,” he said.

He explained that the proposed funds would primarily support critical infrastructure projects in sectors including power, transportation and healthcare, among others, while underscoring the importance of timely disbursement and effective project implementation.

President Tinubu urged the House to give the proposal expeditious consideration, saying approval would enable the government to meet its obligations to Nigerians and accelerate the delivery of the planned projects and programmes.

Following the presentation of the presidential request, Speaker Tajudeen referred the borrowing plan to the joint Committees on Aids, Loans and Debt Management and Appropriations, chaired by Hon Abubakar Nalaraba, for further legislative action.