By peterside Rejoice Eneky
President Bola Ahmed Tinubu has formally requested the approval of the National Assembly for three major financial initiatives aimed at addressing key national challenges, including infrastructural deficits, foreign exchange scarcity, and pension arrears.
In separate letters read on the floors of the Senate and House of Representatives on Tuesday, the President outlined proposals to raise a total of $21.54 billion through external loans, initiate a $2 billion foreign currency bond programme, and issue a N757.98 billion bond to clear outstanding pension liabilities under the Contributory Pension Scheme.
In the first letter, President Tinubu is seeking legislative approval for the establishment of a foreign currency-denominated issuance programme, to be managed by the Debt Management Office (DMO). The programme aims to raise up to $2 billion from the domestic debt market.
The President explained that the initiative is targeted at stimulating economic growth by investing in critical sectors, creating jobs, and boosting foreign exchange inflows. He added that the funds would also contribute to macroeconomic stability amid global financial uncertainty.
In the second letter, Tinubu requested the green light for the 2025–2026 External Borrowing Rolling Plan. The proposal includes a total of $21.54 billion, €2.19 billion, ¥15 billion, and a €65 million grant, to be sourced from multilateral and bilateral lenders such as the World Bank, African Development Bank, Islamic Development Bank, and others.
According to the President, the funds will be used to finance critical projects across several sectors, including transportation, health, education, agriculture, and national security. Tinubu cited the removal of fuel subsidies and persistent revenue shortfalls as key reasons for the borrowing.
He emphasized that the loans are necessary to close the country’s infrastructure gap, support development goals, and improve service delivery to citizens.
The third proposal is a request for legislative endorsement of a N757.98 billion bond issuance, which has already been approved by the Federal Executive Council (FEC). The bond is intended to offset outstanding pension liabilities accrued under the Contributory Pension Scheme as of December 2023.
President Tinubu said the move is part of his administration’s commitment to social welfare, particularly for retirees, many of whom have faced economic hardship due to delays in receiving their entitlements.
He noted that clearing the pension arrears would not only bring relief to affected retirees but also restore trust in the government’s handling of pension obligations.
Reacting to the letters, Speaker of the House of Representatives, Hon. Abbas Tajudeen, said the requests would be given due consideration by the legislature in line with national interest. He emphasized the importance of transparency and accountability in the implementation of the proposed financial programmes.
The proposals are expected to spark debate among lawmakers and economic analysts in the coming days, particularly regarding Nigeria’s rising debt profile and the sustainability of additional borrowing
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