President Bola Ahmed Tinubu has requested the Senate’s approval to establish a ₦1.15 trillion domestic borrowing programme aimed at bridging the funding gap in the 2025 national budget.
The request, contained in a letter read by Senate President Godswill Akpabio during Tuesday’s plenary, explained that the proposed borrowing was necessary to address a ₦1.147 trillion unfunded deficit that emerged after the budget size exceeded earlier revenue projections.
Tinubu said the decision aligned with Section 44 (1–2) of the Fiscal Responsibility Act and formed part of his administration’s fiscal strategy to maintain budget discipline and ensure effective implementation.
“Based on the foregoing, I wish to request the approval of the Senate for the establishment of a ₦1.15 trillion borrowing programme in the domestic debt market to close the unfunded 2025 budget deficit,” the President stated in the letter.
Following the reading of the correspondence, the Senate referred the request to the Committee of the Whole for further consideration.
In a separate communication, President Tinubu also sought the confirmation of a ministerial nominee, forwarded in compliance with Section 147 (2) of the 1999 Constitution (as amended).
Senate President Akpabio assured that both requests would receive prompt legislative attention in line with the chamber’s procedures.
The latest borrowing proposal comes just days after the House of Representatives approved the President’s plan to raise $2.347 billion from the international capital market.
The foreign borrowing is intended to part-finance the 2025 budget deficit and refinance Nigeria’s maturing Eurobonds.
During the House plenary, presided over by Speaker Tajudeen Abbas, members adopted the report of the Committee on Aids, Loans, and Debt Management chaired by Hon. Abubakar Hassan Nalaraba.
According to the report, the approved external borrowing will comprise $1.23 billion to fund the 2025 budget deficit and $1.12 billion to refinance Eurobonds due in November 2025.
The lawmakers also authorized the Federal Government to raise ₦1.84 trillion (about $1.23 billion) through various financial instruments, including Eurobond issuance, loan syndication, bridge financing, and direct borrowing from international lenders.
Additionally, the House endorsed Tinubu’s proposal to issue Nigeria’s first-ever Sovereign Sukuk bond of up to $500 million in the international capital market, with or without a credit guarantee.
Tinubu had previously told the National Assembly that both the domestic and external borrowing plans were designed to close the fiscal gap between projected revenue and planned expenditure for the 2025 financial year, while ensuring the government can meet its debt obligations as they mature.
