The Federal Government’s 2025-2026 External Borrowing (Rolling) Plan, which includes USD 21.8 billion, € 2.1 billion, JPY 15 billion, and a grant of €65 million, was approved by the Senate on Tuesday. The plan will be used to finance a number of projects and programs under President Bola Tinubu’s administration.
Additionally, the Senate granted the President’s request to issue FG’s Bond on the domestic debt market in order to pay off N757.98 billion in outstanding pension liabilities. Similarly, the Senate granted the Debt Management Office’s (DMO) request to raise up to $2 billion in capital from the domestic debt market in order to carry out the Presidential Executive Order on Foreign Currency Denominated Instrument Local Issuance Program.
The Senate Committee on Local and Foreign Debts, which was chaired by Senator Aliyu Wamakko, reviewed the requests and approved them.
Abdul Ningi was among the senators who voiced concerns about the loan repayment terms, though. “Generations and generations after us will continue to pay these loans. “I have looked at the document and I can’t find anywhere that it is mentioned how we are to source to pay for the loans,” Ningi said
The loan was defended by Senator Adetokumbo Abiru and Senator Sani Musa, the chairman of the Senate Committee on Finance, who claimed that the terms were amicable and adaptable.
On May 27, Tinubu presented the Senate with the external borrowing plan. The president’s requests aim to fund important projects that span many economic sectors, especially water supply, infrastructure, health, and education.
