President Bola Tinubu is seeking approval of the National Assembly to embark on a new external borrowing plan to the tune of over $21.5 billion.

The president is also seeking the approval of a domestic bond issuance of ₦757.9 billion to settle outstanding pension liabilities.

In a letter to the Senate and read on Tuesday during plenary by the President of the Senate, Senator Godswill, President Tinubu highlighted the strategic significance of the 2025–2026 borrowing plan, noting that “it spans key sectors of the economy.”

President Tinubu said, “The 2025–2026 borrowing plan covers all sectors with specific emphasis on infrastructure, agriculture, health, education, water supply, growth, security and employment generation, as well as financial and monetary reforms, among others.”

The President explained that the total facility sought under the external borrowing plan included USD 21,543,647,912, EUR 2,193,856,324.54, and 15 billion Japanese Yen, in addition to a grant of 65 million EUR.

President Tinubu, who noted that the proposed borrowing was crucial in light of the removal of fuel subsidy and its economic implications, said: “In light of the significant infrastructure deficit in the country and the paucity of financial resources needed to address this gap amid declining domestic demand, it has become essential to pursue prudent economic borrowing to close the financial shortfall.”

Tinubu assured lawmakers that the proposed funds would be channelled into critical infrastructure projects, especially in the areas of railways, healthcare, and nationwide development programmes across all 36 states and the Federal Capital Territory.

“This initiative aims to generate employment, promote skill acquisition, foster entrepreneurship, reduce poverty, and enhance food security, as well as to improve the livelihoods of Nigerians,” he said.

In another letter, President Tinubu is seeking the Senate’s approval for the issuance of Federal Government bonds in the domestic market to settle accrued pension liabilities under the Contributory Pension Scheme (CPS) amounting to ₦757,983,246,572.

The letter further read, “It will enable the Federal Government of Nigeria to meet obligations under the CPS and restore confidence in the pension industry.

“It will also ensure positive welfare even for the retirees, as this will enable them to meet their basic needs… improve health and avoid untimely death.”