Tinubu Seeks Senate Approval For Fresh $6bn Loans

President Bola Ahmed Tinubu has requested the approval of the Senate for new external loans totalling $6 billion to finance infrastructure projects, service existing debt, and rehabilitate critical port facilities.

The request was conveyed in separate letters addressed to the Senate President, Godswill Akpabio, and read during plenary on Tuesday.

In one of the letters, Tinubu sought approval for a $5 billion loan facility from First Abu Dhabi Bank.

The President urged the Senate to grant “urgent approval” for the request, noting that the facility would be backed by naira-denominated securities as collateral.

If approved, Nigeria’s total public debt is expected to rise from $110.3 billion to $115.3 billion.

In a separate request, the President asked lawmakers to approve an additional $1 billion loan to rehabilitate the Lagos Port Complex and Tin Can Island Port.

According to Tinubu, the facility—arranged by Citibank London and backed by UK Export Finance—is aimed at modernising the two major ports to enhance efficiency, safety, and overall operations.

The President explained that the proposed rehabilitation would tackle longstanding infrastructural challenges affecting port operations while aligning them with global best practices.

He added that the move would also support economic growth by improving trade logistics and reducing bottlenecks at the ports.

Tinubu disclosed that the $1 billion facility would have a repayment tenure of 14 years, including a 48-month availability period.

He added that the loan would attract a 1.1 per cent availability fee and a 1.07 per cent premium from the export credit agency.

Both loan requests have been referred to the Senate Committee on Local and Foreign Loans for further legislative scrutiny.

The committee has been directed to examine the proposals and report back to plenary as soon as possible.