President Bola Tinubu has asked the National Assembly to approve a $7.7 billion external loan to help finance the Federal Government’s 2026 budget deficit.
The request, contained in a letter dated October 26, was read by Senate President Godswill Akpabio during Wednesday’s plenary.
The Senate referred it to the Committee on Local and Foreign Debts for consideration.
The proposed loan, valued at about ₦10.79 trillion, represents the external borrowing component of the government’s 2026 financing plan, based on an exchange rate of ₦1,400 to the dollar.
Tinubu said the 2026 Appropriation Act provides for ₦29.2 trillion in new borrowings, comprising ₦18.4 trillion in domestic loans and $7.7 billion in external financing.
The president said the government would prioritise Eurobond issuance because it offers a faster way to raise substantial funds at competitive rates.
“Emphasis will be on the issuance of Eurobonds, which is typically faster to conclude,” Tinubu said in the letter.
He said the funds would support projects in defence, transportation, agriculture, power, education and health, while the foreign currency proceeds would help strengthen Nigeria’s external reserves.
Akpabio said the new request effectively replaces an earlier proposal for about $20 billion, adding that it provides clearer details on the borrowing plan.
The loan will require National Assembly approval before the Ministry of Finance and the Debt Management Office can proceed.
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