On Tuesday, November 19, 2024, President Bola Tinubu sent a formal request to the National Assembly, asking for approval to borrow $2.209 billion (₦1.767 trillion) to help finance Nigeria’s 2024 budget. This loan is part of the government’s plan to address a fiscal deficit of ₦9.17 trillion in the 2024 budget.
The letter, addressed to both the President of the Senate, Senator Godswill Akpabio, and the Speaker of the House of Representatives, Hon. Tajudeen Abbas, was delivered during the National Assembly’s plenary session. The request is in line with Nigeria’s budgetary financing strategy and is backed by the provisions of the 2024 Appropriation Act.
In his letter, President Tinubu explained that the new loan will be raised through the issuance of Eurobonds or other external borrowing instruments in the international capital market. The purpose of this loan is to help fill the budget gap and support key government projects.
“This borrowing is necessary to finance part of the fiscal deficit in the 2024 budget and is crucial to implementing our economic strategy,” President Tinubu said.
He also presented the 2025–2027 Mid-Term Expenditure Framework and Fiscal Strategy Paper (MTEF/FSP) to the Senate for approval. The MTEF/FSP outlines Nigeria’s long-term fiscal planning and economic policies, and the President urged for its quick passage.
The borrowing plan was approved by the Federal Executive Council (FEC) on November 10, 2024, and now requires the National Assembly’s approval to move forward. In his letter, President Tinubu emphasized the urgency of securing the loan to ensure the smooth execution of the 2024 budget.
“I request that the National Assembly swiftly reviews and approves this proposal so that we can move forward with our plans for national development,” he added.
Senator Akpabio referred the matter to the Senate Committee on Local and Foreign Debts, led by Senator Aliyu Wamako. Wamako was instructed to report back within 24 hours, as the National Assembly’s decision is critical to securing the necessary funds for Nigeria’s economic agenda.
The government’s plan to raise the loan will help address the budget deficit and support Nigeria’s ongoing fiscal and economic goals. The National Assembly’s approval will be key to mobilizing the required funds and implementing the proposed programs under the 2024 budget.
