PRESIDENT Bola Ahmed Tinubu has asked the House of Representatives to approve an external borrowing plan of $2.3 billion to finance the 2025 budget deficit and refinance Nigeria’s maturing Eurobonds.
The request was contained in a letter read on the floor of the House by the Speaker of the House, Tajudeen Abbas, on Tuesday, October 7.
The President explained that the loan would be sourced from a combination of Eurobond issuance, loan syndication, bridge financing, and credit from international financial institutions.
A breakdown of the President’s letter disclosed that $1.2 billion of the amount would support the implementation of the 2025 Appropriation Act, while $1.1 billion would be used to offset Eurobonds, which are due for repayment.
Tinubu noted that Nigeria had made progress in raising funds domestically through the Sukuk bond programme, which generated over ₦1.39 trillion between 2017 and May 2025 for key road projects, adding that, “domestic borrowing alone could not close the existing infrastructure and financing gaps, hence the need to turn to external sources.”
The President also requested the legislature’s approval to issue a sovereign Sukuk bond worth up to $500 million, with or without a credit guarantee from the Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC), an arm of the Islamic Development Bank. He explained that proceeds from the Sukuk would partly refinance more expensive debts, while the balance would be channelled into pre-selected infrastructure projects.
Notably, this proposal adds to a series of foreign loan requests made since Tinubu assumed office in 2023. Earlier in July 2025, the Senate had approved a $21 billion borrowing plan to finance key sectors, including health, education, agriculture, and housing. The same framework also covered a €4 billion facility, ¥15 billion from Japan, a $65 million grant, and $2 billion in local dollar-denominated loans.
Senate Appropriations Committee Chairman Solomon Adeola had said the plan was designed to ensure full implementation of the 2025 budget by combining revenue inflows with strategic borrowing.
Also in July, The ICIR reported that Tinubu formally requested approval from the National Assembly to borrow $347 million under the Federal Government’s 2025–2026 external borrowing plan.
The president cited urgent infrastructure and telecommunications needs for the decision.
The request was read on Wednesday, July 23, by the Speaker of the House of Representatives, Tajudeen Abbas, during plenary.
The request came a day after the Senate approved $21 billion borrowing framework for the same fiscal period.
The country’s public debt has, however, continued to rise. Data from the Debt Management Office (DMO) show that Nigeria’s total debt stock exceeded $108 billion by mid-2025, reflecting a growing dependence on loans to sustain fiscal operations amid revenue shortfalls.
Earlier in May, former Vice President Atiku Abubakar said Tinubu’s addiction to loans would mortgage Nigeria’s future.
He expressed his concern in a statement shared on his X handle on Thursday, May 29.
According to the former vice president, the announcement by the Tinubu-led All Progressives Congress (APC) government to pursue fresh external and domestic loans is a reckless and dangerous move that threatens the future of Nigeria and generations yet unborn.
“Despite national outrage, this administration is pushing ahead with plans to borrow $21.54 billion, €2.19 billion, and ¥15 billion — an equivalent of over $24 billion, which is more than 60 per cent of Nigeria’s total foreign exchange reserves.
“This borrowing spree will raise our total public debt from ₦144.7 trillion to a crushing ₦183 trillion,” he stated.
A reporter with the ICIR
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