The Nigerian Senate has granted approval for President Bola Tinubu’s request to secure $6 billion in fresh external loans to address fiscal deficits and fund critical infrastructure projects.
The approval came on Tuesday, March 31, 2026, shortly after the President’s formal request was read during plenary. It followed the presentation of a report by the Senate Committee on Local and Foreign Debts, chaired by Senator Aliyu Wamakko (APC, Sokoto North).
In separate letters to Senate President Godswill Akpabio, President Tinubu sought legislative approval for two facilities:
$5 billion from Abu Dhabi Bank, primarily for budget deficit financing and meeting existing debt service obligations.
$1 billion from UK Export Finance, facilitated through Citibank in London, specifically for the rehabilitation of key ports, including the Lagos Port Complex and Tin Can Island Port.
According to the President, the port projects aim to resolve longstanding operational bottlenecks, boost efficiency, improve safety standards, promote non-oil trade diversification, and strengthen Nigeria’s position as a regional trade hub.
Senate President Akpabio had earlier referred the requests to the relevant committee with a directive for swift consideration and reporting. The committee’s prompt action enabled the full chamber to approve the borrowings during the same session.
This latest approval reflects the Federal Government’s ongoing strategy of combining domestic and external borrowing to close fiscal gaps and execute priority infrastructure initiatives. In late 2025, the National Assembly had similarly endorsed Tinubu’s request for N1.15 trillion in domestic borrowing to support the 2025 budget.
The 2025 Appropriation Act, with a total expenditure of about N59.99 trillion, underscores the widening deficit that necessitates such borrowings.
The loans are expected to provide immediate relief to the government’s financing needs while supporting long-term economic diversification efforts.
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