The Nigerian Senate on Tuesday approved President Bola Tinubu’s request for a $21 billion external borrowing plan to fund critical development projects across the 2025-2026 fiscal period.
The package, ratified after reviewing the Senate Committee on Local and Foreign Debt’s report, includes $21.19 billion in direct foreign loans, €4 billion and ¥15 billion in additional foreign financing, $65 million grant component, and $2 billion to be raised through domestic foreign-currency instruments.
The Port Harcourt-Maiduguri Eastern Rail Corridor revitalization will benefit $3 billion from the package, as major investments in power, agriculture, digital infrastructure, housing, and security will also be among the beneficiaries.
Senator Aliyu Wamakko (Sokoto North), Committee Chairman, explained the delayed consideration: “The plan was first submitted to the National Assembly on May 27 but was delayed due to legislative recess and documentation issues from the Debt Management Office.”
Deputy Senate President Barau Jibrin (APC, Kano North) hailed the plan’s inclusivity, satating: This shows that the Renewed Hope Agenda is working. No region is left out.”
Senator Solomon Adeola (APC, Ogun West), Appropriations Committee Chairman, confirmed fiscal alignment, stressing that “the borrowing is already embedded in the 2025 Appropriation Act. With this approval, we now have all revenue sources, including loans, in place to fully fund the budget.”
Finance Committee Chairman Sani Musa (APC, Niger East) defended the strategy, asserting that there is no economy that grows without borrowing, with the Banking Committee Chair Adetokunbo Abiru (Lagos East) emphasizing the accountability of the load, stressing “the loans were strictly tied to capital and human development projects.”
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