PRESIDENT Bola Ahmed Tinubu has formally requested the approval of the Senate to secure external loans totaling $6 billion, aimed at addressing Nigeria’s fiscal needs and upgrading critical infrastructure, particularly in the maritime sector.
News Point Nigeria reports that the request was conveyed in two separate letters addressed to the President of the Senate, Godswill Akpabio, and read during plenary on Tuesday.
In the first letter, the President sought legislative approval to obtain a $5 billion loan facility from Abu Dhabi Bank. The funds, according to the request, are intended to support government financing needs, particularly in bridging the country’s budget deficit and meeting debt servicing obligations.
The move reflects ongoing efforts by the administration to stabilize public finances amid rising expenditure demands and revenue constraints.
In a separate communication, President Tinubu also requested approval for a $1 billion loan from Citibank, a London-based financial institution, to finance the rehabilitation and modernization of key port infrastructure.
The proposed $1 billion facility is targeted at critical upgrades of Nigeria’s major port facilities, including the Lagos Port Complex and the Tin Can Island Port.
According to the President, the rehabilitation project is designed to address longstanding infrastructure deficiencies, improve operational efficiency, and enhance safety standards within the country’s maritime sector.
He further noted that the project would boost non-oil trade, strengthen Nigeria’s competitiveness in regional and global commerce, and position the country as a major trade hub in West Africa.
Following the presentation of the loan requests, Senate President Godswill Akpabio referred the proposals to the Senate Committee on Local and Foreign Debts for further legislative scrutiny.
The committee, chaired by Aliyu Wamakko, is expected to review the requests and report back to the Senate for consideration and possible approval.
The borrowing plan comes at a time when Nigeria continues to grapple with fiscal pressures, including revenue shortfalls and growing debt obligations.
However, concerns around debt sustainability and repayment capacity are likely to feature prominently during legislative deliberations.
More details shortly….