President Tinubu has gotten a quick approval for fresh $347m loan request.
NaijaOnPoint Nigeria reports that the House of Representatives has quickly approved a $347 million loan request from President Bola Ahmed Tinubu to support two major infrastructure initiatives, the Lagos-Calabar Coastal Highway and the Nigerian Universal Communications Access Project.
The approval followed Wednesday’s plenary session, during which Speaker Tajudeen Abbas read the President’s letter to lawmakers. Deputy Speaker Benjamin Kalu later presided over the proceedings and gave the final go-ahead.
In the letter, President Tinubu explained that $47 million of the loan will cover a funding gap in the Lagos-Calabar Coastal Highway project, whose cost has risen from $700 million to $747 million. The shortfall arose after the lead arranger initially secured only $700 million in commitments, with the remaining funds now expected from export credit agencies.
The remaining $300 million is earmarked for the Universal Communications Access Project, designed to expand digital connectivity by deploying 7,000 telecommunications towers in underserved rural communities across the country.
The House also adopted a report from Abubakar Nalaraba, Chairman of the Committee on Aids, Loans, and Debt Management, who recommended approval of the loan. Nalaraba reassured lawmakers that Nigeria’s debt burden remains within manageable limits, noting the country’s debt-to-GDP ratio is around 50 percent—below the international threshold of 56 percent.
In May, President Tinubu submitted a comprehensive borrowing plan totaling $21.54 billion, €2.19 billion, and ¥15 billion, along with a €65 million grant. With the newly approved $347 million, the total borrowing now stands at approximately $21.89 billion.