RismadarVoice Reporters
November 11, 2026
President Bola Tinubu has requested approval from the House of Representatives to implement the ₦10.79 trillion ($7.7 billion) external borrowing component of Nigeria’s 2026 budget.
The request was contained in a letter addressed to the Speaker of the House, Tajudeen Abbas, and read during Wednesday’s plenary.
Tinubu explained that the proposed borrowing was already included in the 2026 Appropriation Act and was intended to finance part of the Federal Government’s budget deficit.
According to the President, the request does not introduce a new borrowing allocation but seeks legislative authorisation to implement an existing budgetary provision.
He cited Sections 21(1) and 27(1) of the Debt Management Office Establishment Act, 2003, which provide for parliamentary oversight and approval of external borrowing arrangements.
The 2026 budget provides for approximately ₦29.22 trillion in new borrowing, comprising ₦18.4 trillion in domestic financing and ₦10.79 trillion in external loans.
Tinubu said the government would explore several financing options, including loans from multilateral and bilateral institutions, commercial financing arrangements and international capital markets.
However, he indicated that greater emphasis would be placed on Eurobond issuance because of its potential to raise substantial funds within a shorter period.
The President explained that the final borrowing terms, including interest rates and repayment conditions, would depend on prevailing market conditions.
He said the funds would support projects and programmes in priority sectors, including defence, security, transportation, agriculture, electricity, education and healthcare.
Tinubu also argued that the external financing could support Nigeria’s foreign reserves and strengthen ongoing economic reforms.
He requested authorisation for the Minister of Finance and Coordinating Minister of the Economy, working with the Debt Management Office, to implement the borrowing arrangements following legislative approval.
Speaker Abbas clarified that the request concerned statutory approval for borrowing already provided for in the national budget.
The House subsequently referred the request to its relevant committees for further legislative consideration.
The development comes amid public concerns about Nigeria’s growing debt obligations and the cost of servicing government loans.
Although the proposed amount has been included in the 2026 budget, the financing arrangements remain subject to legislative consideration and the negotiation of final borrowing terms.
The government has maintained that the funds are necessary to support infrastructure development and other priority programmes.
However, the eventual financial impact will depend on borrowing costs, repayment obligations and the effective implementation of the projects financed.
