The House of Representatives has approved President Bola Tinubu’s request to borrow $2.35 billion to help finance part of Nigeria’s 2025 budget deficit. Lawmakers also gave approval for the issuance of a $500 million sovereign sukuk in the international capital market.
The approval followed the adoption of the report by the House Committee on Aids, Loans and Debt Management during Wednesday’s plenary. The funds are expected to support infrastructure projects and diversify the government’s sources of financing.
President Tinubu said the borrowing plan complies with the Debt Management Office Act, which requires legislative consent for new loans. He explained that the funds may be raised through eurobonds, loan syndications, or bridge financing facilities depending on market conditions.
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The President added that 25 percent of proceeds from the sukuk could be used to repay high-interest debt, while the rest would fund key infrastructure. Between 2017 and 2025, the federal government has already raised over N1.39 trillion through domestic sukuk for similar projects.
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