President Bola Tinubu has
asked the Senate to approve a fresh external borrowing of $7.7 billion to
finance the 2026 budget.
The request, equivalent to
about N10.79 trillion at the budget exchange rate of N1,400 to the dollar, was
contained in a letter read at plenary by Senate President Godswill Akpabio on
Wednesday, November 4.
In the letter, Tinubu said
the funds would be raised mainly through Eurobond issuance, alongside loans
from multilateral and bilateral institutions, international financial
institutions and syndicated loan arrangements. He said the proposed borrowing
would help finance the budget, strengthen Nigeria's external reserves and
support the stability of the naira.
The President also sought
authorisation for the Minister of Finance and the Debt Management Office (DMO)
to take the necessary steps to implement the borrowing plan.
Reacting to the request,
Akpabio said the latest submission appeared to supersede an earlier borrowing
proposal while giving greater clarity on the sources of the proposed financing.
He then referred it to the Senate Committee on Local and Foreign Debts for
consideration and a report as soon as practicable.
Comments:
Leave a Reply