The National Assembly on Wednesday gave the green light to President Bola Tinubu’s request to borrow an additional N1.15 trillion to fill the financing gap in the 2025 budget.
Both the Senate and the House of Representatives passed the approval during a joint plenary session.
In a letter to Senate President Godswill Akpabio and House Speaker Tajudeen Abbas dated 4 November, Tinubu noted that the 2025 budget had been expanded to N59.9 trillion up N5.25 trillion from the N54.74 trillion originally proposed leaving a N14 trillion deficit.
He said: “It is therefore necessary to increase the domestic borrowing limit in the 2025 budget by N1.147 trillion to close this gap.”
The Senate Committee on Local and Foreign Debts, led by Deputy Chair Haruna Manu (Taraba Central), presented a report urging the Ministry of Finance and the Debt Management Office to keep the borrowing within approved fiscal limits, stressing that terms must remain “favourable, transparent, and sustainable.”
The committee also recommended quarterly reporting on the loan’s status, utilisation, and repayment plan.
Sen. Abdul Ningi (Bauchi Central) moved an amendment to task the Appropriations Committee with ensuring the funds are used strictly for intended purposes.
In his contribution, Sen. Adeola Solomon (Ogun West) said: “We have shortfalls from the 2025 budget, and we need borrowings.
“There is a need for us to come up with a plan on how the money will be sourced. This will be sourced locally, and I call on my colleagues to support this bill in its entirety.”
Deputy Senate President Barau Jibrin praised the committee, saying, “You did the job in a very short time. The report is straight to the point, and I thank you for a job well done.”
The approval follows earlier moves by the National Assembly in October, when it endorsed a $2.35 billion loan and a $500 million debut sovereign SUKUK to fund infrastructure and diversify Nigeria’s financing sources.
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