The Senate has approved President Bola Tinubu’s request to obtain external loans totalling $6 billion. The decision followed the consideration of a report presented by Senator Aliyu Wamakko, Chairman of the Senate Committee on Local and Foreign Debts.
The request was conveyed in two separate letters addressed to the Senate and read during plenary on Tuesday, March 31 In the first letter, the President sought approval to establish a structured total return swap (TRS) external financing programme of up to $5 billion with First Abu Dhabi Bank.
According to the President, the loan will be released in tranches and used to support budget implementation, fund priority infrastructure projects, and refinance existing domestic and external debts. He added that the funds would also help the Federal Government meet urgent financial obligations.
President Tinubu also mentioned that Nigeria’s total public debt stood at $110.3 billion, equivalent to about N159.2 trillion, as of December 31, 2025, noting that the phased drawdown of the loan would help ease pressure on debt servicing.
In a second letter, the president requested approval for the issuance of naira-denominated federal government securities as collateral for the facility, as well as the payment of margin obligations in U.S. dollars.
He also sought approval for a $1 billion export finance facility from the United Kingdom, arranged by Citibank, to fund the reconstruction and rehabilitation of the Lagos Port Complex and Tin Can Island Port.