President Tinubu Seeks Nigerian Senate Approval For Fresh N9trillion Loan

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President Bola Ahmed Tinubu has formally requested the approval of the Nigerian Senate to secure fresh external loans totaling $6 billion, estimated at between ₦9 trillion and ₦9.6 trillion, to support the country’s financing needs.

The request was conveyed in two separate letters addressed to Senate President Godswill Akpabio and read during Tuesday’s plenary session.

In the first letter, Tinubu sought legislative approval to obtain a $5 billion loan from Abu Dhabi Bank to help cover Nigeria’s budget deficit and meet existing debt obligations.

In a separate correspondence, the President requested approval for a $1 billion facility from Citibank, based in London, to fund the rehabilitation of critical port infrastructure across the country.

The proposed projects include upgrades to the Lagos Port Complex and Tin Can Island Port, two of Nigeria’s busiest seaports.

According to Tinubu, the port rehabilitation initiative is aimed at addressing long-standing infrastructure deficits, improving efficiency, enhancing safety standards, and boosting non-oil trade. He added that the move would also position Nigeria as a more competitive regional trade hub.

Following the presentation, Akpabio referred the requests to the Senate Committee on Local and Foreign Debts, chaired by Aliyu Wamakko, for further legislative scrutiny and expedited consideration.

The latest loan request comes amid growing concerns over Nigeria’s rising debt profile and increasing reliance on external borrowing to finance budget deficits.

This development also follows the approval of a $1 billion Development Policy Financing loan by the World Bank under the “Nigeria Actions for Investment and Jobs Acceleration (P512892)” initiative.

According to a document published by the World Bank, the facility comprises a $500 million International Development Association credit and a $500 million International Bank for Reconstruction and Development loan. The funding is designed to support economic reforms, promote job creation, and accelerate private investment.

The loan will be implemented through the Federal Ministry of Finance and is part of a broader support package aimed at consolidating Nigeria’s post-reform stability and driving inclusive growth.

Since 2023, the Tinubu administration has introduced key economic reforms, including the removal of petrol subsidy, unification of exchange rates, and the end of central bank deficit financing.

While the government says these measures have helped stabilise the economy and restore investor confidence, concerns remain over slow growth and rising poverty levels, with over 130 million Nigerians still affected.

The World Bank noted that although macroeconomic stability has improved, Nigeria is yet to transition fully into a path of inclusive and sustained economic growth, highlighting the urgent need for increased investment and job creation.