The National Assembly has received a formal request from Bola Tinubu seeking ‘timely’ approval for a $21.5 billion external loan and a ₦758 billion domestic bond to settle outstanding pension liabilities.
The request, aimed at financing critical projects across various sectors of the economy, particularly infrastructure, health, education, and water supply, was read on the floor of the Senate during plenary today.
“The 2025–2026 borrowing plan covers all sectors with specific emphasis on infrastructure, agriculture, health, education, water supply, growth, security, and employment generation, as well as financial and monetary reforms, among others,” he stated.
“In light of the significant infrastructure deficit in the country and the paucity of financial resources needed to address this gap amid declining domestic demand, it has become essential to pursue prudent economic borrowing to close the financial shortfall,” he wrote.
Tinubu assured lawmakers that the proposed funds would be channelled into critical infrastructure projects, especially in the areas of railways, healthcare, and nationwide development programmes across all 36 states and the Federal Capital Territory.
“This initiative aims to generate employment, promote skill acquisition, foster entrepreneurship, reduce poverty, and enhance food security, as well as to improve the livelihoods of Nigerians,” he emphasised.
It has been referred to the Senate Committee on Local and Foreign Debts for further legislative scrutiny, with a report expected within two weeks.
In a separate request, Tinubu also sought the Senate’s authorisation for the issuance of Federal Government bonds in the domestic debt market to settle outstanding pension liabilities under the Contributory Pension Scheme.
The proposed bond issuance amounts to ₦757.9 billion.
According to Tinubu’s letter, the bond issuance is intended to address long-standing pension arrears and fulfil the government’s commitment to retired public sector workers.
Additionally, Tinubu has requested Senate approval to raise $2 billion from the domestic market to support investments in critical sectors of the economy.
This request has also been referred to the Committee on Local and Foreign Debts for consideration within two weeks.
Earlier, Tinubu wrote to the House of Representatives, requesting approval for the revised 2025–2026 external borrowing plan.
Under the plan, Tinubu is seeking to borrow $21.5 billion, €2.2 billion, ¥15 billion Japanese yen, and a €65 billion grant.
According to the letter, which was read on the floor of the House by the Speaker, the loans are intended to address the country’s infrastructure deficit and improve employment, among other objectives.
“It will enable the Federal Government of Nigeria to meet obligations under the CPS and restore confidence in the pension industry. “It will also ensure positive welfare even for the retirees, as this will enable them to meet their basic needs… improve health and avoid untimely death,” the letter stated.
To settle outstanding pension liabilities, Tinubu is also requesting approval to borrow ₦757.98 billion from the domestic market.
“While I look forward to the progression and timely approval of the House of Representatives, please accept, Your Honourable Speaker, the assurances of my high regards,” he wrote.
The request has been referred to the House Committee on National Planning and Economic Development and the Committee on Pensions for further legislative action.
