The Senate on Tuesday approved President Bola Tinubu’s $21 billion foreign loan request for the 2025–2026 fiscal cycle, a move critics say deepens Nigeria’s debt burden despite assurances from lawmakers.
The borrowing plan includes $21.19bn in loans, €4bn, ¥15bn, a $65m grant, and over ₦757bn in domestic bonds. It also allows the government to raise $2bn through local foreign-denominated instruments.
Chairman of the Debt Committee, Senator Aliyu Wamako, said the plan aligns with the 2025 budget and Medium-Term Expenditure Framework.
Appropriations Chair, Senator Olamilekan Adeola, said the loans would fund infrastructure, power, security, agriculture, and education.
Senator Sani Musa argued that borrowing is necessary for growth, while Senator Victor Umeh lauded the $3bn earmarked for the Port Harcourt–Maiduguri rail line.
However, Senator Abdul Ningi warned against lack of transparency, urging the government to disclose project details to Nigerians.
Senate leaders insisted that all loans would target development, not recurrent expenditure. Deputy Senate President Jibrin Barau called the move “evidence of inclusivity” under the Renewed Hope Agenda.
