By David Akinmola
President Bola Tinubu has asked the Senate to approve a supplementary external borrowing plan of $20.52 billion and €1.05 billion for the 2026–2027 fiscal period, seeking fresh funding for infrastructure and development projects across the country amid concerns over Nigeria’s rising debt burden.
The request, contained in a letter read by Senate President Godswill Akpabio during plenary on Tuesday, covers proposed external facilities of $20.52 billion and €1.045 billion, equivalent to about $21.7 billion combined.
Tinubu said the proposed loans would finance projects in power, transportation, healthcare, agriculture, education, water supply and security, as well as employment generation and financial management reforms.
According to the President, the projects were selected after technical and economic evaluations, with consideration given to their expected contribution to national development. He said most would be implemented across the 36 states and the Federal Capital Territory.
Defending the request, Tinubu said the scale of Nigeria’s infrastructure deficit required substantial financing, arguing that external borrowing would help bridge funding gaps and accelerate project delivery.
He added that the proposed investments were expected to support job creation, skills acquisition and entrepreneurship, reduce poverty and improve food security.
After the letter was read, Akpabio said elements of the borrowing plan had featured in earlier budgetary and external borrowing arrangements. He referred the request to the Senate Committee on Local and Foreign Debts for examination, in collaboration with the committees on Appropriations and Finance. The committees were asked to report back within one week.
The request comes amid concerns about the growth of Nigeria’s public debt and the cost of servicing government obligations, with pressure on public revenue raising questions about the fiscal room available for infrastructure, social services and other spending priorities.
While the Federal Government maintains that external financing is necessary to address infrastructure gaps and support economic growth, the Senate’s review is expected to consider the scope of the proposed facilities and their relationship with previously approved borrowing plans.
The latest request will require legislative consideration before the proposed financing can proceed.
