President Bola Tinubu has written to the Senate seeking approval for an external borrowing plan amounting to over $21.5 billion and the issuance of ₦757.9 billion in domestic bonds to settle outstanding pension liabilities.
The letter was read during plenary by Senate President Godswill Akpabio. In it, Tinubu explained that the 2025–2026 borrowing plan targets key sectors of the economy, including infrastructure, agriculture, health, education, water supply, security, employment generation, and financial reforms.
The external borrowing request includes $21,543,647,912, €2,193,856,324.54, and 15 billion Japanese Yen. It also includes a €65 million grant.
Tinubu said the loans are necessary due to the country’s infrastructure deficit and the economic impact of fuel subsidy removal.
He stated that the funds would be used for major national projects in all 36 states and the Federal Capital Territory.
In a separate letter, the President requested approval to issue domestic bonds worth ₦757,983,246,572 to clear pension arrears under the Contributory Pension Scheme.
He said the government had been unable to meet its obligations due to revenue challenges, leading to hardship for retirees.
He noted that the Federal Executive Council had approved the bond issuance in February and assured that the move would improve the welfare of retirees and restore trust in the pension system.
The Senate referred both requests to its Committee on Local and Foreign Debts for further review and report within two weeks.
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