Tinubu Seeks NASS Approval for $20.5bn, €1.04bn Foreign Loans Ahead of 2027 Election
President Bola Tinubu has approached the National Assembly for approval to secure fresh foreign loans worth $20.52 billion and €1.04 billion to finance projects and programmes across multiple sectors of Nigeria’s economy.
The request was presented in a letter read by Senate President Godswill Akpabio during plenary on Tuesday, October 27, 2026, as preparations intensify for the country’s 2027 general election.
The proposed borrowing has renewed attention on the Federal Government’s debt management strategy, particularly as Nigeria continues to grapple with economic pressures, rising living costs and concerns about the country’s capacity to meet its financial obligations.
The latest request follows several borrowing proposals and external financing arrangements pursued by the Tinubu administration since taking office in 2023.
In March 2026, the National Assembly approved two external financing facilities worth a combined $6 billion. The package included a proposed $5 billion facility from First Abu Dhabi Bank in the United Arab Emirates and a $1 billion UK-backed export credit facility arranged through Citibank.
The $5 billion financing arrangement was intended to support budget implementation, fund priority infrastructure projects and refinance existing domestic and external debts carrying higher interest costs.
Meanwhile, the $1 billion facility was earmarked for the rehabilitation and reconstruction of the Lagos Port Complex and Tin Can Island Port, two major gateways for Nigeria’s maritime trade.
The Senate approved the facilities after considering a report submitted by its Committee on Local and Foreign Debts.
In July 2025, lawmakers also approved an extensive external borrowing plan exceeding $21 billion for the 2025 and 2026 fiscal years.
The package covered approximately $21.19 billion in direct foreign loans, €4 billion, ¥15 billion and a $65 million grant, alongside additional domestic borrowing through government bonds.
According to the proposed financing plan, the funds were intended to support projects in infrastructure, agriculture, healthcare, education, security and housing.
Railway development, electricity generation, digital connectivity and housing programmes were among the other areas identified for investment.
However, the size of the borrowing package attracted questions from some lawmakers over transparency, repayment arrangements and the potential long-term consequences for public finances.
During Senate deliberations in July 2025, Senator Abdul Ningi questioned whether the documents presented to lawmakers adequately explained how the proposed loans would be repaid. He called for a detailed breakdown of the borrowing plan.
Supporters of the proposal maintained that external financing was necessary to deliver critical infrastructure and meet the government’s budgetary commitments.
Tinubu’s latest request comes as political activities build towards the 2027 general election, with the presidential poll scheduled for January 16, 2027, according to the report.
The timing adds another dimension to the borrowing debate, placing the administration’s financial decisions under scrutiny as Nigerians assess the direction of the country’s economy ahead of the next presidential contest.
Tinubu, elected in 2023, is seeking another term amid continuing public debate over his administration’s economic reforms, particularly the removal of the petrol subsidy and changes to foreign exchange policies.
The Federal Government has defended the reforms as necessary measures to stabilise public finances, improve economic efficiency and attract investment.
Nevertheless, households and businesses continue to face the effects of rising prices and the high cost of living, keeping economic hardship and government spending among the country’s most pressing public concerns.
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