Nigeria’s total public debt is projected to climb to N162.025 trillion as President Bola Tinubu has formally requested the National Assembly to approve a new round of foreign loans.
The president’s proposal includes borrowing $21.5 billion, €2.19 billion, 15 billion Japanese yen, and a €65 million grant under the federal government’s 2025–2026 borrowing framework.
Based on the official exchange rate of N650 to $1 as of May 27, 2025, the breakdown of the proposed borrowings is as follows:
$21 billion = N13.65 trillion
€2.19 billion = N4 trillion
15 billion yen = N174 billion
€65 million = N116 billion
This brings the total proposed borrowing to N17.355 trillion, which would push Nigeria’s overall public debt to N162.025 trillion.
According to data from the Debt Management Office (DMO), the current debt stock stands at N144.67 trillion, with N56.6 trillion of that amount accumulated during Tinubu’s administration. His predecessor, Muhammadu Buhari, left the debt at N87.379 trillion.
The new loan request was contained in letters read at the two chambers of the National Assembly by Senate President Godswill Akpabio and Speaker of the House of Representatives, Tajudeen Abbas.
Tinubu explained that the funds are intended to finance critical infrastructure and social sector projects across areas like agriculture, health, education, water, security, and employment.
“These projects were selected based on technical and economic evaluations and are geared toward addressing the country’s infrastructure deficit, reducing poverty, creating jobs, and boosting food security,” the president stated.
Citing the impact of fuel subsidy removal and declining domestic revenues, Tinubu said the loan was necessary to bridge financial gaps and ensure funding for essential development sectors such as power, railways, and healthcare.
“I want to emphasise that the projects and programmes included in the Borrowing Plan were selected based on thorough technical and economic evaluations as well as their anticipated contribution to the socio-economic development of the country.
“These initiatives aim to generate employment, promote skill acquisition, foster entrepreneurship, reduce poverty, and enhance food security, all of which will improve the livelihoods of the average Nigerian. The majority of these projects and programmes will be implemented across all 36 states and the Federal Capital Territory.”
The president also stressed the urgency of securing National Assembly approval to ensure timely disbursement and effective execution.
In a separate letter, Tinubu sought legislative approval to raise up to $2 billion by issuing foreign currency-denominated instruments in the domestic debt market.
“This request is pursuant to the provisions of Section 44 (1) and (2) of the Fiscal Responsibility Act 2007 and Section 1(7) of the Executive Order, which requires National Assembly approval for all new borrowings and appropriation of the proceeds,” the president wrote.