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President Bola Ahmed Tinubu has asked the National Assembly to approve the implementation of Nigeria’s 2026 external borrowing plan of ₦10.79 trillion, estimated at about $7.8 billion, to help finance the country’s budget deficit.
The request, contained in a letter dated October 26, 2026, and addressed to the Speaker of the House of Representatives, Tajudeen Abbas, was presented to the lawmakers on Wednesday.
Tinubu said the proposed external borrowing formed part of the new financing arrangements approved under the 2026 Appropriation Act.
According to the President, the funds would partly finance the budget deficit of approximately ₦29.218 trillion.
He said the request was made in accordance with Sections 21(1) and 27(1) of the Debt Management Office (Establishment) Act, 2003.
Tinubu Cites Debt Management Office Act
Explaining the legal basis for the request, the President said Section 21(1) of the DMO Act requires the terms and conditions of external loans to be presented to and approved by the National Assembly before they can be obtained.
He also cited Section 27(1), which empowers the National Assembly to approve standard terms and conditions for negotiating and accepting external loans and issuing guarantees.
Tinubu said the 2026 Appropriation Act approved ₦29.218 trillion in new borrowings to partly finance the budget deficit.
The borrowing plan comprises ₦18.42 trillion in domestic borrowing and ₦10.79 trillion in external borrowing, with the latter forming the subject of his request to the legislature.
Eurobonds To Feature In Borrowing Strategy
The President said the Federal Government would pursue available external financing options simultaneously, taking into consideration their costs, benefits to the country and the time required to access the funds.
He disclosed that particular emphasis would be placed on issuing Eurobonds, which he described as a financing option that could be concluded relatively faster and allow the government to raise larger amounts at comparatively lower costs.
On the terms and conditions of the proposed Eurobond issuance, Tinubu explained that the final details could only be determined at the pricing stage because they would depend on prevailing market conditions.
He added that the government would consider the available financing options while seeking to secure the funds required to support the implementation of the 2026 budget.
