Former Vice President Atiku Abubakar has urged the National Assembly not to approve the proposed $21.6bn foreign loans for infrastructure for the Federal Government until it provides comprehensive documentation detailing the projects, contracts, costs, contractors, loan conditions, and repayment obligations. President Bola Tinubu had asked the National Assembly to approve a fresh external borrowing plan totalling $20.52 billion and €1.05 billion to finance infrastructure and social development projects across the country.
The request, contained in a letter read by Senate President Godswill Akpabio during plenary, seeks approval of the Federal Government's 2026–2027 Supplementary External Borrowing Plan. The proposed facilities amount to $20,517,755,901 and N1,045,083,643, with projects spanning power, transportation, agriculture, healthcare, education, water supply, security, employment generation, and financial management reforms. Tinubu urged lawmakers to grant the request early approval to facilitate the timely implementation of the proposed projects.
According to Tinubu, the projects were selected following technical and economic evaluations to determine their potential contributions to national development. The initiatives are designed to generate employment, promote skills acquisition, encourage entrepreneurship, reduce poverty, and strengthen food security. Most of the projects would be implemented across the 36 states and the Federal Capital Territory.
However, Atiku Abubakar expressed concern that the president had yet to provide a project-by-project breakdown of the proposed borrowing, including specific projects, costs, contractors, and repayment obligations, raising questions about the transparency and purpose of the loans. He alleged that the borrowing could be channelled through infrastructure projects, particularly the Lagos–Calabar Coastal Highway, to benefit political campaigners and favoured contractors.
Atiku faulted the president for outlining broad sectors expected to benefit from the borrowing without providing sufficient details to enable Nigerians to scrutinise the proposed expenditure. The absence of specific project information, cost estimates, locations, and contractor details makes it difficult for citizens and lawmakers to determine whether the loans are genuinely intended to address the country's development needs.
The Senate President referred the request to the Senate Committee on Local and Foreign Debts, working with the Committees on Appropriations and Finance, for consideration and a report within one week. The committees are expected to examine the proposal before the Senate takes further action on the president's request. Akpabio indicated that elements of the borrowing plan had featured in earlier government borrowing arrangements and budget approvals.
Atiku warned against what he described as excessive borrowing towards the end of the administration's tenure, arguing that Nigerians should not be burdened with substantial debt without adequate disclosure and accountability. He vowed to scrutinise loans obtained during the final year of Tinubu's administration if elected president, promising to investigate their purposes, authorisation, and implementation.
Key points
- Atiku Abubakar urges National Assembly to halt $21.6bn foreign loan request due to lack of transparency.
- President Tinubu requests $20.52 billion and €1.05 billion in external loans for infrastructure and social development projects.
- Atiku Abubakar questions the implications of the reported inland rerouting of the Lagos–Calabar Coastal Highway.
