The Nigerian Senate has started considering President Bola Tinubu’s request to borrow $7.7bn (₦10.79tn) from foreign sources to help fund the 2026 national budget.
The request was presented to the Senate during Wednesday’s plenary session and referred to the Committee on Local and Foreign Debts for further review.
In a letter dated October 26, 2026, Tinubu asked the National Assembly to approve the borrowing of $7.7bn, equivalent to ₦10.79tn, using an exchange rate of ₦1,400 to the dollar.
The proposed foreign loan is part of the Federal Government’s plan to raise ₦29.2tn in new loans to help fund the 2026 budget deficit of about ₦31.4tn.
According to the President, the borrowing plan includes ₦18.4tn in domestic loans and ₦10.79tn from foreign sources.
Tinubu said the funds would be used to support important projects and programmes in defence and security, transportation, agriculture, power, education and healthcare.
He also explained that the government would consider different borrowing options, including Eurobonds, loans from international financial institutions and other foreign financing arrangements.
The President said the final interest rates and repayment periods would depend on market conditions when the loans are secured.
He assured lawmakers that the Ministry of Finance and the Debt Management Office would work to get the best possible borrowing conditions for Nigeria.
Senate President Godswill Akpabio called on the Federal Government to carefully examine the loan conditions and ensure that any agreement would benefit the country.
“So we have to go out there and search for the best terms, and that’s what they may call a win-win seller, win-win buyer approach,” Akpabio said.
The Senate committee is expected to examine the proposal and report back before the lawmakers take a final decision.
The request comes amid growing concerns over Nigeria’s rising public debt and the amount of money spent on debt repayment.
