Senate To Approve President Tinubu’s $2.2bn Loan Request

Senate is set to approve President Tinubu’s $2.2bn loan request.

Newsone Nigeria reports that the Nigerian Senate will approve President Bola Tinubu’s $2.2 bn (about N1.77tn) loan request today, Wednesday, November 20, 2024.

This online news platform understands that the $2.2bn loan request submitted by President Tinubu, is part of the external borrowing plan outlined for implementing the N28.7tn 2024 budget.

In separate letters read during Tuesday’s Senate and House of Representatives plenary, Tinubu explained that the loan would partially finance the N9.7tn budget deficit for the 2024 fiscal year.

After reading the letter, Senate President Godswill Akpabio tasked the Senate Committee on Local and Foreign Debts with examining the request and reporting back within 24 hours.

Akpabio stated, “The Presidential request for $2.2bn, equivalent to N1.77tn, is already enshrined in the external borrowing plan for the 2024 fiscal year.

“The Senate Committee on Local and Foreign Loans should therefore give the request expeditious consideration and report back within 24 hours.”

Additionally, Tinubu submitted the Medium-Term Expenditure Framework and Fiscal Strategy Paper for 2025–2027 to both the Senate and the House of Representatives.

Akpabio directed the Senate Committee on Finance, National Planning, and Economic Affairs to consider the MTEF/FSP documents and report back within one week.

Key parameters in the MTEF/FSP include a $75 oil price benchmark per barrel, daily oil production of 2.06 million barrels, an exchange rate of N1,400 to $1, and a targeted GDP growth rate of 6.4 percent.

These figures form the basis for consideration and approval of the proposed N47.9tn 2025 budget.