By Zuleihat Owuiye, Nigeria

President Bola Tinubu has asked the Nigerian Senate to approve a supplementary external borrowing plan of approximately $20.52 billion and €1.045 billion to finance infrastructure and development projects across the country.

The request, covering the 2026–2027 fiscal period, was contained in a letter addressed to Senate President Godswill Akpabio and read during plenary on Tuesday, October 27, 2026.

Following the presentation of the letter, Akpabio referred the proposal to the Senate Committee on Local and Foreign Debts for further examination and directed the committee to submit its report within one week.

The proposed borrowing is expected to support projects across several critical sectors, including power, transportation, agriculture, healthcare, education, water supply and security. The government also intends to use the funds to support employment generation, economic growth and financial management reforms.

According to Tinubu, the proposed external financing is necessary to address Nigeria’s infrastructure deficit, close funding gaps and sustain economic development.

In his letter, the President urged the National Assembly to give the borrowing plan urgent consideration and approval to enable the government to begin implementing the proposed projects without unnecessary delays.

He explained that the facilities were designed to support development programmes across virtually every sector of the economy.

“The 2026–2027 Supplementary External Borrowing Plan cuts across all sectors, with specific emphasis on infrastructure, agriculture, health, education, water supply, growth, security and employment generation, as well as financial management reforms, amongst others,” Tinubu stated.

The President said the proposed loans were considered necessary because of the substantial financial resources required to address the country’s infrastructure challenges.

He argued that additional external financing would help the government implement major projects while supporting economic activities and improving public services.

Tinubu disclosed that the proposed facilities amounted to $20,517,755,901 and €1,045,083,643.

He added that the projects and programmes included in the borrowing plan had undergone technical and economic assessments to determine their suitability and potential contribution to national development.

“I want to emphasise that the projects and programmes included in the Borrowing Plan were selected based on thorough technical and economic evaluation, as well as their anticipated contribution to the socio-economic development of the country,” he said.

The President maintained that the planned investments were expected to generate employment opportunities, promote skills acquisition, encourage entrepreneurship and reduce poverty.

He also identified food security as one of the areas expected to benefit from the proposed interventions.

According to him, the projects are intended to improve living conditions and create opportunities for Nigerians, particularly through better infrastructure and stronger economic activity

Tinubu disclosed that most of the projects would be implemented across Nigeria’s 36 states and the Federal Capital Territory.

He said the nationwide distribution of the proposed interventions was intended to address development needs across the federation rather than concentrate investments in a few locations.

The President specifically highlighted power, transportation and healthcare as key sectors expected to benefit from the financing.

He argued that investments in these areas were important for improving public services, supporting businesses and strengthening the country’s economic foundations.

“These funds will primarily be directed towards critical infrastructure projects in various sectors, including power, transportation and healthcare, amongst others,” Tinubu stated.

The government believes that additional funding would help accelerate the execution of projects that require significant financial resources.

Tinubu also urged lawmakers to consider the request promptly, arguing that timely approval would allow the government to release funds and implement the planned programmes more effectively.

“Given the urgent nature of these needs and the importance of stabilising the country, it is crucial to seek the consideration and approval of the National Assembly leadership and the entire National Assembly for the 2026–2027 Supplementary External Borrowing Plan,” he said.

He added that legislative approval would enable the government to fulfil its obligations to Nigerians through timely disbursements and effective project implementation.

Following the reading of the President’s letter, Senate President Akpabio referred the borrowing proposal to the Senate Committee on Local and Foreign Debts for further legislative consideration.

The committee is expected to examine the request and may work with the Senate Committee on Appropriations and other relevant committees during the review process.

The review is expected to consider the proposed financing arrangements, the objectives of the borrowing plan and the development projects the government intends to support.

However, the letter presented to the Senate did not contain a detailed breakdown of the proposed loans by individual project or sector. It also did not specify the financing terms or the precise amount allocated to each area.

These details could become important during the legislative examination as lawmakers assess the scale of the proposed borrowing and the intended use of the funds.

The Senate’s decision on the request will determine whether the proposed supplementary external borrowing plan receives the necessary legislative approval to proceed.

The request comes as the Tinubu administration continues to pursue investments aimed at improving infrastructure, supporting economic growth and expanding access to public services.

The President has maintained that addressing Nigeria’s infrastructure deficit requires substantial financing and that external borrowing is necessary to bridge the gap.

However, the proposal will now undergo scrutiny by the relevant Senate committee before further legislative action is taken.

The committee’s report is expected within one week, after which the Senate can consider the findings and determine the next steps.

Until the legislative process is completed, the proposed $20.52 billion and €1.045 billion facilities remain a request for approval rather than an approved borrowing arrangement.

The outcome of the Senate’s review will be significant for the government’s plans to finance development projects across the country during the 2026–2027 fiscal period.