On Tuesday, November 19, President Bola Tinubu submitted a request to the National Assembly for an approval to procure a fresh external loan of $2.2 billion.
This followed a nod by the Federal Executive Council for the borrowing plan on November 10.
According to the president, the loan would be used to finance the deficit of N9.7 trillion in the 2024 budget.
The letter to the National Assembly read in parts: “Request for the resolution of the National Assembly for the implementation of the new external borrowing of N1,767,102,179 that is about $2.209bn already enshrined in the 2024 Appropriation Act.
“In accordance with the provisions of Sections 21 and 27 Subsection 1, the Debt Management Office established Act 2003 and the approval of the Federal Executive Council, I write the request for a resolution of the National Assembly to raise the sum of $2.2 09bn.
“The new external borrowing enshrined in the 2024 Appropriations Act, partly financed the budget to about $9.17 trillion.
“Please receive the 2025-2027 MTF and FSP approved during the Federal Executive Council meeting on November 10, 2024.
“The Senate is invited to note that as the 2025 budget of the Federal Government of Nigeria will be prepared based on the parameters and fiscal assumptions of the approved 2025-2027 MTF and FSP, it is imperative to seek the National Assembly’s expeditious legislative action in this submission.”