President Bola Tinubu has asked the Senate to approve a supplementary external borrowing plan worth $20.52bn and €1.045bn to finance infrastructure and development projects across Nigeria.
The President has also sought National Assembly approval to establish and expand the Federal Government’s Promissory Note Programme to settle verified outstanding liabilities amounting to N269.44bn.
The borrowing request was contained in a letter addressed to Senate President Godswill Akpabio, who read it during plenary on Tuesday. The proposed loans cover the 2026–2027 fiscal period and are intended to support projects in power, transportation, agriculture, healthcare, education, water supply, security and other critical sectors.
Tinubu said additional external financing had become necessary to address Nigeria’s infrastructure funding gap, sustain economic growth, create jobs and improve living standards. He urged lawmakers to consider the proposal urgently to facilitate the release of funds and timely implementation of the projects.
According to the letter, the proposed facilities amount to $20,517,755,901 and €1,045,083,643. Tinubu said the projects were selected following technical and economic assessments, with consideration given to their potential contributions to the country’s socioeconomic development.
The President said the planned investments were expected to generate employment, promote skills acquisition, encourage entrepreneurship, reduce poverty and strengthen food security.
He added that most of the projects would be implemented across Nigeria’s 36 states and the Federal Capital Territory, Abuja, to address development needs throughout the country.
Tinubu identified power, transportation and healthcare as some of the key sectors expected to benefit from the financing, noting that the scale of Nigeria’s infrastructure deficit required broader external borrowing to bridge the funding shortfall.
Following the presentation of the letter, Akpabio referred the proposal to the Senate Committee on Local and Foreign Debts for further consideration. The committee was directed to report back to the Senate within one week and may work with the Senate Committee on Appropriations and other relevant committees.
However, the letter presented to the Senate did not provide a detailed breakdown of the proposed loans by individual project or sector, nor did it specify the financing terms.
In a separate request, Tinubu asked the National Assembly to approve the issuance of promissory notes worth N269.44bn to settle verified outstanding obligations owed to various creditors.
The request was conveyed in a letter from the Secretary to the Government of the Federation, George Akume, which was read during plenary at the House of Representatives in Abuja on Tuesday.
In the letter dated August 18, 2026, and received by the Office of the Speaker on October 21, Akume put the outstanding liabilities at N269,446,402,822.56 following a review by relevant ministries, departments and agencies.
He said Tinubu had approved the proposed establishment and expansion of the programme as a structured mechanism for settling verified contractual, project-related and other financial obligations.
According to the letter, the programme would provide a transparent and fiscally responsible framework for addressing the liabilities, while ensuring that only validated claims were included.
The President also requested authorisation for the Minister of Finance and Coordinating Minister of the Economy to work with the Debt Management Office and other relevant agencies to implement the programme.
Akume said the arrangement would help prevent further accumulation of interest, penalties and related costs, while providing relief to creditors and reinforcing confidence in the Federal Government’s commitment to meeting legitimate obligations.
He explained that the government had previously used the Promissory Note Programme to settle inherited domestic debts and contractual liabilities following the necessary approvals.
The proposed arrangement is also expected to spread repayment obligations over an appropriate period, helping the government manage its cash flow and plan expenditure more effectively.
Akume urged lawmakers to give the request urgent consideration, warning that delays could increase the financial burden associated with some of the outstanding debts.
The detailed schedule of liabilities, including the beneficiaries, amounts and supporting documents, was submitted to the National Assembly for consideration.
Source: Vanguard
