Senate gives Tinubu approval to borrow fresh N1.77 trillion loan

The Senate has approved President Bola Tinubu’s loan request of $2.2 billion (approximately N1.77 trillion) to partially finance the ₦9.7 trillion budget deficit for the 2024 fiscal year.

The approval followed the presentation of a report by the Chairman, the Senate Committee on Local and Foreign Debts, Aliyu Wamakko, during plenary.

With the approval, Nigeria’s total debt has now hit an all-time high to the tune of N136 trillion.

President Tinubu had written to the National Assembly requesting the Senate and House of Representatives to approve a fresh $2.2 billion as external borrowing plan in the 2024 Appropriation Act.

In a letter read during the Senate and House of Representatives plenaries on Tuesday, Tinubu explained that the loan was integral to his administration’s fiscal strategy for the coming year.

“The Presidential request for $2.2 billion, equivalent to ₦1.77 trillion, is already enshrined in the external borrowing plan for the 2024 fiscal year,” Senate President Godswill Akpabio stated while reading the letter.

He further directed the Senate Committee on Local and Foreign Debts to expedite its review of the request and present a report within 24 hours.

“The Senate Committee on Local and Foreign Loans should, therefore, give the request expeditious consideration and report back within 24 hours,” Akpabio emphasised.

While presenting the report of the committee, Wamakko recommended the Senate to approve the request. The red chamber therefore approved the request when it was put to voice vote by Deputy Senate President Barau Jibrin

Shortly after Wammako concluded his report, Barau Jibrin asked for comments but added that the report was straightforward and required little deliberation.

He then subjected the request to a voice vote, where the Senate chorused “Aye” in favour of the request.

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