Tinubu Seeks Reps’ Approval to Access ₦10.79trn External Loans, Says It Is Not Fresh Borrowing

President Bola Ahmed Tinubu has asked the House of Representatives to approve the implementation of the ₦10.79 trillion external borrowing component of the 2026 Appropriation Act, clarifying that the request does not constitute a fresh borrowing plan.

In a letter addressed to the Speaker of the House of Representatives, the President said the proposed borrowing, equivalent to $7.707 billion at the budget exchange rate of ₦1,400 to the dollar, was already captured in the 2026 budget as part of the approved financing for the country’s budget deficit.

Tinubu explained that the request was aimed at securing the statutory authorisation required under Sections 21(1) and 27(1) of the Debt Management Office (DMO) Establishment Act, 2003, which mandate the National Assembly to approve the terms and conditions of external loans.

According to the President, the 2026 Appropriation Act provided for ₦29.218 trillion in new borrowings, comprising ₦18.28 trillion in domestic borrowing and ₦10.79 trillion in external borrowing, to finance part of the budget deficit.

He said the Federal Government would pursue multiple external financing options simultaneously, with greater emphasis on Eurobond issuance because of its relatively faster completion process and potential to raise larger amounts at comparatively lower costs.