President Bola Tinubu has requested the National Assembly to approve $20.52 billion and €1.045 billion in supplementary external borrowing to finance infrastructure and development projects across Nigeria. The request, which covers the 2026–2027 fiscal period, targets key sectors such as power, transportation, agriculture, healthcare, education, water supply, and security. According to Tinubu, the loans will help address Nigeria's infrastructure deficit, sustain economic growth, create jobs, and improve living conditions.
The proposed borrowing aims to support critical projects in power, transportation, and healthcare, among others. Tinubu explained that the government selected the projects after technical and economic assessments, adding that they would promote employment, skills acquisition, entrepreneurship, poverty reduction, and food security. Most of the projects are expected to cover all 36 states and the Federal Capital Territory. The President urged lawmakers to approve the borrowing plan urgently, citing the need for timely implementation.
In a separate request, Tinubu asked the National Assembly to approve the establishment and expansion of the Federal Government's Promissory Note Programme. The programme would settle outstanding verified liabilities totalling N269.44 billion. Secretary to the Government of the Federation, George Akume, conveyed the request in a letter read during plenary in the House of Representatives. The liabilities were reviewed by relevant ministries, departments, and agencies before arriving at the figure.
The Promissory Note Programme would provide a structured and transparent framework for settling outstanding obligations, ensuring that the government admits only verified and validated claims. Tinubu seeks approval to issue promissory notes worth N269.44 billion, or another amount the National Assembly may approve. The notes would cover liabilities listed in the accompanying schedule, with identified categories of liabilities and beneficiaries subject to final verification, reconciliation, and certification by relevant agencies.
The arrangement would help prevent further accumulation of interest, penalties, and other financial costs, while providing relief to affected creditors and strengthening confidence in the government's commitment to honour legitimate obligations. The Federal Government had previously used the programme to settle inherited domestic debts and contractual obligations. The SGF urged lawmakers to consider the request urgently, warning that some liabilities had remained outstanding for years, increasing the risk of additional interest and associated costs.
The proposed programme would allow the government to settle the liabilities without placing an immediate and excessive burden on its cash flow. Spreading repayments over an appropriate period would support fiscal planning and prudent debt management. The SGF noted that legislative approval would allow the government to begin issuing promissory notes and settle the affected obligations. A detailed schedule of the liabilities, including beneficiaries, amounts, and supporting documents, was submitted to the National Assembly for consideration.
Senate President Godswill Akpabio referred the President's request to the Senate Committee on Local and Foreign Debts for further consideration, with a directive to report back within one week. The committee may also consult the Senate Committee on Appropriations and other relevant committees. However, the President's letter did not provide a detailed breakdown of the loans by project, sector, or financing terms.
Key points
- President Tinubu requests $20.52 billion and €1.045 billion in foreign loans for infrastructure projects.
- The loans target key sectors such as power, transportation, agriculture, and healthcare.
- Tinubu also seeks approval for a Promissory Note Programme to settle outstanding liabilities of N269.44 billion.
