Tinubu Seeks NASS Approval to Borrow $21.5bn, ¥15bn, €2.2bn Amid Soaring Debt

Nigeria’s president, Bola Ahmed Tinubu,  has asked the National Assembly to approve a fresh external borrowing plan of $21.5 billion, €2.2 billion, ¥15 billion, and a €65 million grant.

The request was in a letter read by Senate President Godswill Akpabio during Tuesday’s plenary session. The proposed loans and grants are part of the federal government’s 2025–2026 external borrowing plan.

According to the president, the funds will support projects and programmes across the 36 states and the Federal Capital Territory (FCT). The projects aim to reduce poverty, improve food security, create jobs, enhance skill acquisition, and promote entrepreneurship.

In the light of the removal of the fuel subsidy and its impact on the national economy, approval is called for the borrowing plan, which amounts to USD 21,543,647,912, and EUR 2,193,856,324.54. And in Japanese Yen, 15 billion Yen and grant of 65 million, respectively, Tinubu’s letter stated.

Since assuming office in May 2023, Tinubu has introduced significant policy changes, including ending the petrol subsidy and floating the naira, pushing up prices and making living conditions harder for many Nigerians.

He said the borrowing is necessary to ease the impact of these policies and drive development across the country.

The new loan request comes amid concerns over Nigeria’s rising debt. As of December 2024, the country’s total public debt stood at N144.7 trillion (about $94.2 billion), according to the Debt Management Office (DMO). Domestic debt accounted for N74.4 trillion (51.4 per cent), while external debt stood at N70.3 trillion (48.6 per cent).

The latest request raises questions about the nation’s growing dependence on loans under Tinubu’s leadership, with some analysts warning that continuous borrowing could strain future budgets and worsen economic hardship.

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