Tinubu Seeks NASS Approval for $21.5 Billion Loan and Multicurrency Grants

President Bola Ahmed Tinubu has formally requested the National Assembly’s approval for a substantial external borrowing plan amounting to $21.54 billion, as part of Nigeria’s 2025–2026 Medium-Term External Borrowing Strategy. The proposal also includes additional borrowings and grants totaling €2.19 billion, ¥15 billion (Japanese Yen), and a €65 million grant component.

In addition to the external loans, President Tinubu is seeking legislative backing for the issuance of a $2 billion foreign currency bond on the international capital market. The bond issuance, he noted, is a strategic move to diversify funding sources and stabilize Nigeria’s balance of payments.

The President’s requests were contained in three separate letters read during Tuesday’s plenary sessions of both chambers of the National Assembly. The Senate President, Godswill Akpabio, and the Speaker of the House of Representatives, Abbas Tajudeen, formally presented the letters to their respective legislative bodies.

According to President Tinubu, the proposed loans and grants are critical to the successful execution of priority projects and programmes across key sectors of the economy. He emphasized that the funds would be directed towards the development of critical infrastructure and strengthening of core sectors such as agriculture, healthcare, education, water resources, internal security, and public financial management.

The President also highlighted the importance of the funding in addressing Nigeria’s pension liabilities, an issue that has posed significant fiscal pressure on government finances in recent years.

"The proposed borrowing is aimed at bridging the financing gap required to deliver impactful development outcomes. It aligns with the Renewed Hope Agenda and the economic reforms necessary to place Nigeria on a sustainable growth trajectory," the President stated in his correspondence to the lawmakers.

If approved, the loan package will form part of Nigeria’s broader strategy to attract concessional and semi-concessional financing from development partners and multilateral financial institutions.

The National Assembly is expected to subject the request to further legislative scrutiny, including assessments by relevant committees on finance, planning, and foreign affairs, before granting approval.