Senate Approves Tinubu’s $2.2 Billion Loan Request

The Nigerian Senate has approved President Bola Tinubu‘s $2.2 billion (approximately N1.77 trillion) fresh loan request.

This approval came after the Senate received a report from Aliyu Wamakko, the Chairman of the Committee on Local and Foreign Debt.

The loan, which is part of the financing plan for Nigeria’s 2024 fiscal year, is intended to help cover the N9.1 trillion budget deficit.

President Tinubu had on Tuesday submitted letters to both the Senate and the House of Representatives, explaining that the loan would assist in addressing the shortfall in the national budget.

READ: Tinubu Seeks N1.77tn Fresh Borrowings

Senate President Godswill Akpabio had called for swift action on the request and directed the Committee on Local and Foreign Debts to expedite its review and submit a report within 24 hours.

He emphasized that the $2.2 billion loan request was already incorporated into the external borrowing plan for the 2024 fiscal year, stating: “The presidential request for $2.2bn, equivalent to N1.77 trillion, is already enshrined in the external borrowing plan for the 2024 fiscal year. The Senate Committee on Local and Foreign Loans should therefore give the request expeditious consideration and report back within 24 hours.”

In addition to the loan request, President Tinubu also presented the Medium-Term Expenditure Framework (MTEF) and Fiscal Strategy Paper (FSP) for the years 2025–2027 to both chambers of the National Assembly.

These documents outline key economic assumptions, such as a $75 per barrel oil price benchmark, daily oil production of 2.06 million barrels, an exchange rate of N1,400 to $1, and a targeted GDP growth rate of 6.4%.

These figures will form the foundation for the consideration and approval of the proposed N47.9 trillion 2025 budget.

Furthermore, President Tinubu introduced the Social Investment Programme Amendment Bill to the National Assembly.

The proposed amendment aims to enhance the effectiveness of social welfare programs by ensuring greater transparency and efficiency in the implementation process.

It also seeks to designate the National Investment Register as the primary tool for targeting beneficiaries of these programs. Tinubu explained: “The amendment will make our social and welfare programs more transparent, efficient, and impactful in addressing the needs of vulnerable Nigerians.”