BY TAIBAT UMMI YAKUBU

President Bola Tinubu has asked the Senate to approve a fresh external borrowing plan involving $20.52 billion and about €1.05 billion to finance infrastructure and other priority projects under the Federal Government’s 2026–2027 supplementary borrowing framework.

The request was conveyed in a letter read by Senate President Godswill Akpabio during plenary on Tuesday, with the President urging lawmakers to consider and approve the proposal to facilitate the timely implementation of planned projects.

In the letter, Tinubu said the proposed borrowing was intended to address Nigeria’s infrastructure deficit and close funding gaps in critical sectors of the economy, including power, transportation, healthcare, education, agriculture, water supply, security and job creation.

The plan also covers financial management reforms, with the President arguing that additional funding was necessary to support development projects and tackle the country’s pressing socio-economic challenges.

Tinubu maintained that the projects selected for financing had undergone technical and economic assessments to ensure they delivered meaningful benefits, particularly in poverty reduction, skills development, entrepreneurship and national food security.

He said the scale of investment required to bridge Nigeria’s infrastructure gap made external borrowing necessary to supplement available government resources.

“Given the need for significant infrastructure investment in the country and the vast financial resources required to address this gap, it has become essential to pursue prudent external borrowings to close the financing shortfall,” the President stated in the letter.

Following the presentation of the request, Akpabio said aspects of the proposed borrowing framework had featured in previous government borrowing plans and budgetary arrangements.

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He, however, referred the request to the Senate Committee on Local and Foreign Debts, chaired by Senator Haruna Manu, for detailed examination before further legislative action.

The committee is expected to work with the Senate Committees on Appropriations and Finance to scrutinise the proposal and clarify its scope.

Akpabio noted that the external borrowing framework had previously received legislative consideration as part of the government's broader financing plans covering 2025 to 2027.

He said the latest request would be examined to establish the details of the proposed borrowing and determine the appropriate next steps.

The committee's review is expected to assess the proposal against Nigeria's existing debt framework and clarify how the funds would be deployed, including the proposed implementation schedule.

The request now awaits further legislative scrutiny, with Senate consideration expected to determine whether the proposed external borrowing plan receives the necessary approval.