RismadarVoice Reporters, March 31, 2026
The Nigerian Senate has approved President Bola Tinubu’s request to secure external loans totaling $6 billion to support budget implementation, infrastructure development, and debt management.
The approval followed the presentation of a report by Senator Aliyu Wamakko (APC, Sokoto North), Chairman of the Senate Committee on Local and Foreign Debts.
The request had earlier been submitted by President Tinubu in two separate letters addressed to the Senate President, Senator Godswill Akpabio, and read during plenary on Tuesday.
In the first letter, President Tinubu sought the establishment of a structured total return swap (TRS) external financing programme of up to $5 billion with First Abu Dhabi Bank, UAE.
The facility, he explained, would be disbursed in tranches to help reduce pressure on Nigeria’s debt stock and meet urgent financial obligations, including the repayment of relatively expensive domestic and foreign debts.
“The proceeds will be used for budget implementation, development of priority infrastructure projects, and repayment of relatively expensive domestic and external debts,” the president stated in the letter, noting that Nigeria’s total public debt stood at $110.3 billion (approximately N159.2 trillion) as of December 31, 2025.
In the second letter, Tinubu requested Senate approval for a $1 billion UK Export Finance loan facility, arranged by Citibank, London branch, to fund the reconstruction and rehabilitation of the Lagos Port Complex and Tin Can Island Port.
He also sought authorization to use naira-denominated federal government securities as collateral for the facility and for the payment of margining obligations in US dollars.
The Senate’s approval paves the way for the federal government to access the funds in phases, ensuring strategic deployment for infrastructure development while managing Nigeria’s overall debt exposure.
