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| Senate Backs Tinubu’s $6bn External Loan Request |
The Nigerian Senate has granted approval to President Bola Tinubu to secure external loans totalling $6 billion.
The decision followed the presentation and adoption of a report by the Senate Committee on Local and Foreign Debts, chaired by Aliyu Wamakko, during plenary.
The president’s request was submitted through two separate letters read before lawmakers. In the first correspondence, he proposed the establishment of a structured total return swap financing programme valued at up to $5 billion, in partnership with First Abu Dhabi Bank.
According to the proposal, the funds will be disbursed in phases to support budget execution, finance key infrastructure projects, and refinance both domestic and foreign debt obligations. The administration stated that the facility would also assist in meeting immediate fiscal needs.
The president disclosed that Nigeria’s public debt stood at $110.3 billion, approximately N159.2 trillion, as of December 31, 2025. He noted that drawing down the loan in stages is expected to reduce pressure on debt servicing.
In a separate request, Tinubu also sought legislative approval to issue naira-denominated government securities as collateral for the loan, alongside provisions for margin payments in U.S. dollars.
Additionally, the Senate approved a $1 billion export finance arrangement from the United Kingdom, facilitated by Citibank. The funds are designated for the rehabilitation and upgrade of the Lagos Port Complex and Tin Can Island Port.