Tinubu Seeks N10.79trn External Loan to Finance 2026 Budget Deficit.
The News Agency of Nigeria (NAN) reports that Tinubu’s request was contained in a letter seeking the National Assembly for the implementation of external borrowings approved in the 2026 Appropriation Act.
Reading the letter during plenary, Senate President Godswill Akpabio said the request was made pursuant to Sections 21(1) and 27(1) of the Debt Management Office Establishment Act, 2003.
In the letter, Tinubu recalled that the 2026 Appropriation Act provided for N29.2 trillion in new borrowings to finance a budget deficit of about N31.4 trillion.
He explained that the borrowing comprised N18.4 trillion domestic borrowing and N10.79 trillion external borrowing, with the latter forming the subject of the request. According to the letter, the federal government plans to raise approximately 7.7 billion dollars through one or a combination of available funding sources. He said the proposed sources included concessional and commercial loans from multilateral and bilateral institutions, the International Monetary Fund, bridge financing facilities, direct borrowing from international financial institutions and Eurobond issuance. The president said the options would be pursued simultaneously, considering their respective costs, benefits and the time required to access the funds.
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