The proposed borrowing will fund infrastructure and development projects across the 36 states and the Federal Capital Territory as Nigeria’s public debt climbs to N166.79tn…….
President Bola Tinubu has asked the Senate to approve a supplementary external borrowing plan worth $20.52 billion and €1.05 billion to finance infrastructure and development programmes across the country in 2026 and 2027.
The request was conveyed in a letter addressed to Senate President Godswill Akpabio and read during plenary on Tuesday, according to the News Agency of Nigeria.
Tinubu said the proposed funds would be channelled into critical sectors, including power, transportation, healthcare, agriculture, education, water supply, security and employment generation.
The financing plan is also expected to support reforms in public financial management, as the Federal Government seeks to address infrastructure gaps and provide funding for projects considered vital to Nigeria’s economic and social development.
The President said the projects earmarked for funding had undergone technical and economic assessments, with their potential contributions to national development considered during the selection process.
According to him, the majority of the proposed projects would be executed across Nigeria’s 36 states and the Federal Capital Territory.
Tinubu maintained that the scale of the country’s infrastructure needs made additional financing necessary, arguing that external borrowing would help bridge the funding shortfall and support the implementation of key development programmes.
“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 borrowings to close the financing shortfall,” Tinubu said.
He appealed to the Senate to treat the request as a priority, noting that timely approval would enable the government to release funds and implement the projects effectively.
The President said the proposed financing would help the administration meet its commitments to Nigerians by ensuring that projects receive the resources required for execution.
Akpabio, in his remarks, indicated that the proposed borrowing was connected to the Federal Government’s existing financing framework, which had previously received legislative approval.
“The borrowing plan is attached, but of course, this was even earlier approved in our budget, and also the external borrowing plan was approved as far back as 2025 to 2027,” the Senate President said.
Following the presentation, Akpabio referred the request to the Senate Committee on Local and Foreign Debts for further examination, with the Committees on Appropriations and Finance expected to participate in the review.
The referral will allow the relevant committees to scrutinise the proposal before the Senate takes further action on the government’s external borrowing plans.
The proposed loans come as Nigeria continues to record an increase in its public debt, raising the significance of the government’s plans to secure additional financing.
Figures published by the Debt Management Office showed that the country’s total public debt rose to N166.79 trillion as of June 30, 2026, from N159.35 trillion at the end of March.
Domestic obligations accounted for N91.59 trillion, representing 54.91 per cent of the total debt stock.
The country’s debt profile has expanded considerably since Tinubu assumed office in 2023. According to DMO data, Nigeria’s total public debt stood at N87.38 trillion as of June 30, 2023.
The increase has been driven by growth in both domestic and external borrowing.
Nigeria’s external debt rose from $42.49 billion in December 2023 to $51.86 billion by December 2025. Over the same period, domestic debt increased from N59.1 trillion to N89.4 trillion.
Against this backdrop, the proposed $20.52 billion and €1.05 billion borrowing plan is set to undergo further legislative scrutiny as the government pursues funding for infrastructure and other development priorities.
