President Bola Tinubu has asked the National Assembly to approve a supplementary external borrowing plan worth $20.52 billion and €1.045 billion to finance infrastructure and development projects across Nigeria.
The proposed loans are intended to support key sectors of the economy, including power, transportation, agriculture, healthcare, education, water supply and security, during the 2026–2027 fiscal period.
Tinubu’s request was contained in a letter addressed to the President of the Senate, Godswill Akpabio, who read it during plenary on Tuesday.
The President said the proposed borrowing was necessary to address Nigeria’s infrastructure funding gap, sustain economic growth, create employment opportunities and improve the living conditions of citizens.
According to him, the proposed financing would support projects and programmes across different sectors, with particular attention to infrastructure development, agriculture, healthcare, education, water supply, security, employment generation and financial management reforms.
Tinubu explained that the projects were selected following technical and economic assessments, taking into account their expected contributions to national development.
He said the investments were expected to generate jobs, promote skills acquisition, encourage entrepreneurship, reduce poverty and strengthen food security.
The President also disclosed that most of the projects would be implemented across Nigeria’s 36 states and the Federal Capital Territory to address development needs nationwide.
He argued that the scale of the country’s infrastructure deficit required additional external financing, adding that the funds would primarily be directed towards critical projects in the power, transportation and healthcare sectors, among others.
Tinubu urged lawmakers to give the proposal urgent consideration, saying timely approval would allow the government to release funds and implement the projects effectively.
Following the presentation of the letter, Akpabio referred the borrowing plan to the Senate Committee on Local and Foreign Debts for further legislative consideration.
The committee was directed to report back to the Senate within one week and may work with other relevant committees, including the Senate Committee on Appropriations.
However, the letter presented to the Senate did not provide a detailed breakdown of individual projects, the specific financing terms or the exact amount allocated to each sector.
Tinubu Seeks Approval for ₦269.44bn Promissory Notes
In a separate development, the President has asked the National Assembly to approve the establishment and expansion of the Federal Government’s Promissory Note Programme to settle outstanding verified liabilities worth ₦269.44 billion.
The request was conveyed in a letter from the Secretary to the Government of the Federation, George Akume, which was read during plenary in the House of Representatives.
According to the letter, the liabilities amount to ₦269,446,402,822.56 and arose from outstanding contractual obligations, project-related debts and other financial commitments owed to different categories of creditors.
Akume stated that the amount followed a comprehensive review conducted by relevant ministries, departments and agencies of the Federal Government.
The letter, dated August 18, 2026, and received by the Office of the Speaker on October 21, disclosed that Tinubu had approved the proposal to establish and expand the programme as a mechanism for settling the verified debts.
The proposed arrangement is intended to provide a structured and transparent framework for clearing the outstanding liabilities while ensuring that only claims that have been properly verified and validated are accepted.
The President is seeking legislative approval to issue promissory notes worth ₦269.44 billion, or any other amount approved by the National Assembly, to settle the obligations listed in the accompanying schedule.
The request also covers the inclusion of identified categories of liabilities and beneficiaries in the programme, subject to final verification, reconciliation and certification by the appropriate government agencies.
Tinubu further asked lawmakers to authorise the Minister of Finance and Coordinating Minister of the Economy, working with the Debt Management Office and other relevant agencies, to take the necessary steps to implement the programme.
FG Says Programme Will Reduce Additional Costs
Explaining the rationale behind the proposal, Akume said the arrangement would help prevent the continued accumulation of interest, penalties and other financial costs associated with the outstanding debts.
He added that the programme would provide relief to affected creditors and reinforce confidence in the Federal Government’s commitment to honouring legitimate contractual obligations.
According to the SGF, the government had previously used the Promissory Note Programme to settle inherited domestic debts and contractual liabilities following approval by the Federal Executive Council and the National Assembly.
He noted that the proposed arrangement would allow the government to settle the obligations in an orderly manner without placing an immediate and excessive burden on its cash flow.
The programme is also expected to support fiscal planning by spreading repayment obligations over an appropriate period in line with debt management principles.
Akume urged the House of Representatives to consider the request urgently, citing the size of the outstanding liabilities, the age of some of the debts and the risk of further increases in interest and associated costs.
He said prompt legislative approval would enable the Federal Government to begin issuing the promissory notes and conclude the process of settling the affected obligations.
A detailed schedule containing the categories of liabilities, beneficiaries, amounts involved and supporting documents was submitted to the National Assembly for consideration.
The two requests will require legislative consideration before the proposed external borrowing plan and promissory note programme can proceed.
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