President Bola Tinubu has asked the National Assembly to approve fresh foreign loans worth $20.51 billion and €1.45 billion to finance projects under the Federal Government’s 2026–2027 supplementary external borrowing plan. The request comes less than 110 days before the 2027 presidential election, intensifying attention on the administration’s borrowing plans.
Tinubu’s request was contained in a letter addressed to Senate President Godswill Akpabio. Akpabio read the letter during plenary on Tuesday, October 27, 2026.
The President said the proposed loans would help the government meet its obligations and address funding gaps across critical sectors of the economy.
He listed infrastructure, power, transportation, healthcare, security, agriculture, water supply and education among the areas expected to benefit from the funds. The plan also targets food security and employment generation across Nigeria’s 36 states and the Federal Capital Territory.
Tinubu Explains Purpose of Foreign Loans
Tinubu said the projects under the borrowing plan were selected after technical and economic assessments. He explained that the initiatives were designed to support socioeconomic development and improve living conditions.
According to the President, the projects would create jobs, promote skills acquisition, encourage entrepreneurship and reduce poverty. He also argued that Nigeria needs substantial investment to close its infrastructure gap and support economic growth.
The President urged lawmakers to consider the request promptly. He said early approval would allow the government to access the funds and begin implementing the proposed projects without unnecessary delays.
Akpabio Says Loan Plan Will Undergo Review
Reacting to the request, Akpabio said elements of the borrowing plan had featured in previous budgetary and borrowing arrangements. However, he expressed uncertainty about the exact period covered by the earlier approvals.
He said the request would be referred to the Senate Committee on Local and Foreign Debts for examination. The committee may also work with the Senate Committees on Appropriations and Finance before the Senate takes further action.
The proposed borrowing has brought renewed attention to Nigeria’s reliance on external financing to fund infrastructure and other government programmes. Lawmakers will have to scrutinise the proposal before deciding on the request.
Loan Request Raises Questions Ahead of 2027 Poll
The timing of the request is notable as political activities gather momentum ahead of the 2027 general election. Tinubu launched his re-election campaign in Kaduna on October 24, with the presidential election scheduled for January 16, 2027.
However, the loan request and the election campaign are separate developments. The President has presented the borrowing plan as a means of financing development projects and addressing funding shortfalls.
The National Assembly’s review will be crucial in determining whether the proposal receives approval. Nigerians will also be watching how the government explains the expected benefits, manages the resulting debt obligations and ensures that any approved funds deliver measurable improvements in infrastructure, public services and employment.
