The National Assembly on Wednesday approved President Bola Tinubu’s request to obtain a total of $2.347 billion from the international capital market to partially finance the 2025 budget deficit and refinance maturing Eurobonds.
Lawmakers also approved Tinubu’s proposal to issue a $500 million debut sovereign sukuk in the international capital market (ICM) to fund infrastructure projects and diversify Nigeria’s financing sources.
The approval followed the consideration of a joint report presented by both chambers’ committees on Aids, Loans, and Debt Management.
In the House of Representatives, members adopted the report of the Committee on Aids, Loans, and Debt Management, chaired by Hon. Abubakar Hassan Nalaraba, during plenary presided over by Speaker Tajudeen Abbas.
The lower chamber authorised the implementation of a new external borrowing of ₦1,843,669,786,987.16 (equivalent to $1,229,113,000) at the budget exchange rate of ₦1,500 to $1. The sum forms part of the new external borrowing provision in the 2025 Appropriation Act to help finance the ₦9.27 trillion budget deficit.
President Tinubu had earlier requested legislative approval for the loan, citing sections 21(1) and 27(1) of the Debt Management Office (Establishment) Act, 2003, which require National Assembly consent for all new borrowing and refinancing arrangements.
According to the President, the external borrowing would be raised through one or a combination of instruments — including Eurobonds, loan syndications, or bridge financing facilities — depending on prevailing market conditions.