By Nworisa Michael
The Nigerian Senate has approved a $6 billion external borrowing request submitted by President Bola Ahmed Tinubu, following a swift legislative process that concluded within hours of its presentation.
The approval came shortly after the Senate President, Godswill Akpabio, read the president’s request during plenary on Tuesday.
The decision followed the consideration of a report presented by Aliyu Wamakko, Chairman of the Senate Committee on Local and Foreign Debts.
In his request, President Tinubu sought approval for a structured external financing arrangement, including a $5 billion Total Return Swap (TRS) facility to be sourced from First Abu Dhabi Bank. The funding is expected to be disbursed in phases.
According to the president, the loan will support budget implementation, finance priority infrastructure projects, and refinance existing debts, particularly those with higher servicing costs.
Tinubu also disclosed that Nigeria’s total public debt stood at approximately $110.3 billion (about ₦159.2 trillion) as of December 31, 2025, noting that the phased drawdown of the facility would help manage debt servicing pressures.
In a separate request, the president sought approval for an additional $1 billion loan facility arranged by Citibank, London branch. The funds are earmarked for the rehabilitation and reconstruction of key maritime infrastructure, including the Lagos Port Complex and Tin Can Island Port.
The Senate also approved the issuance of naira-denominated securities as collateral for the loan and the settlement of related financial obligations in U.S. dollars.
The approval marks a significant step in the federal government’s financing strategy, aimed at addressing fiscal gaps and supporting critical infrastructure development.
