President Bola Tinubu has requested approval from the National Assembly for approximately $21.7 billion in additional external borrowing to finance infrastructure and development projects across Nigeria.
The proposed financing, contained in the Federal Government’s 2026–2027 Supplementary External Borrowing Plan, comprises $20.52 billion and €1.05 billion.
The request was presented to lawmakers on Tuesday, October 27, 2026, through a letter read during plenary by Senate President Godswill Akpabio.
According to the Federal Government, the proposed funds will support investments in electricity, transportation, healthcare, agriculture, education, water supply and security infrastructure.
The borrowing programme is also expected to finance initiatives targeting employment creation, entrepreneurship, skills development and improvements in public financial management.
Tinubu maintained that Nigeria requires substantial investment to address infrastructure deficiencies that continue to constrain economic productivity and private-sector expansion.
The administration considers external financing an important component of its strategy to accelerate development projects and stimulate economic activity across the country.
Most of the proposed projects are expected to cover Nigeria’s 36 states and the Federal Capital Territory, potentially creating opportunities for businesses operating in construction, engineering, logistics and related industries.
However, the request comes amid growing concerns about the country’s debt obligations and the sustainability of additional foreign borrowing.
Data from the Debt Management Office showed that Nigeria’s total public debt increased to N166.79 trillion as of June 30, 2026, compared with N159.35 trillion recorded at the end of March.
The increase highlights the financial pressure facing the government as it seeks additional resources to fund infrastructure while managing existing repayment commitments.
Although external financing could accelerate the delivery of critical projects, its economic benefits will depend on borrowing conditions, efficient fund utilisation and the ability of financed investments to generate measurable returns.
Foreign-currency loans also expose government finances to exchange-rate risks, particularly when repayment obligations increase following depreciation of the naira.
Following the presentation, Akpabio referred the borrowing request to the Senate Committee on Local and Foreign Debts for further consideration with input from the Appropriations and Finance committees.
The National Assembly is expected to examine the proposed financing arrangements before determining whether to authorise the borrowing programme.
For Nigeria’s economy, the central issue remains whether additional borrowing will translate into improved infrastructure, stronger productive capacity and sustainable economic growth.