Tinubu seeks Senate approval for $7.7bn external loan to fund 2026 budget

President Bola Tinubu has sought the Senate’s approval to raise $7.707 billion (N10.79 trillion) in external loans to finance projects and programmes captured in the 2026 Appropriation Act.

The request, contained in a letter dated October 26, 2026, was read by Godswill Akpabio, Senate President, during plenary on Wednesday.

Akpabio said the fresh request effectively superseded an earlier proposal by the President seeking approval for $20.52 billion and €1.045 billion in external borrowing, describing the latest communication as more explicit on the proposed financing arrangements.

I believe this letter effectively cancels the earlier request that was sent for $20-something billion.

In the letter, Tinubu explained that the government planned to explore multiple financing options, including Eurobond issuance, concessional and commercial facilities from multilateral and bilateral institutions, and bridge financing facilities.

He specifically sought authorisation to raise N10.79 trillion, equivalent to $7.707 billion, using the budget exchange rate of N1,400 to the dollar.

He also requested the Senate’s approval for the Minister of Finance and Coordinating Minister of the Economy, in collaboration with the DMO, to undertake the necessary steps to implement the proposed borrowing.