President Bola Tinubu’s request to secure an additional $6 billion in external borrowing will lead to a rise of N155.1 trillion in Nigeria’s total debt after the Senate swiftly approved. At the current exchange rate of N1,400 to the dollar, the loan adds approximately N8.4 trillion to the nation’s debt, which stood at N146.69 trillion at the end of 2025.
The approval process was completed in record time, taking barely three and a half hours. Senate President Godswill Akpabio read President Tinubu’s letter requesting the loan, which was immediately scaled for second and third readings before being passed on the same day.
The Senate’s decision followed the presentation and review of a report by Senator Aliyu Wammakko, chairman of the Senate Committee on Local and Foreign Debts. The additional borrowing request was conveyed in two separate letters addressed to the Senate President.
In one of the letters, President Tinubu sought approval to establish a structured Total Return Swap (TRS) external financing programme of up to $5 billion with First Abu Dhabi Bank in the United Arab Emirates. The programme includes collateralisation with Naira-denominated Federal Government securities and margining obligations in US dollars.
The President also requested that the Federal Government be authorised to draw down the facility in tranches and issue government securities as collateral. The measures are aimed at diversifying Nigeria’s external financing options while managing fiscal obligations.
The rapid approval highlights the urgency with which the administration is pursuing additional financing to support government projects and fiscal stability, amid rising concerns over Nigeria’s growing debt burden.
