Reps Approve Tinubu’s $2.35 Billion Loan, $500 Million Sukuk to Boost Infrastructure and Budget Funding

By Diafa Doubra,

The House of Representatives has approved President Bola Tinubu’s request to obtain a $2.35 billion external loan and raise an additional $500 million through Sukuk bonds to finance key national projects.

The decision, reached during Thursday’s plenary session, followed the adoption of a report by the House Committee on Aids, Loans, and Debt Management. The committee explained that the funds are part of the 2025 borrowing plan aimed at supporting critical infrastructure, education, health, and agriculture projects across the country.

According to the report, the loans will be sourced from multilateral lenders such as the World Bank and the African Development Bank, while the Sukuk issuance will be raised locally to fund road construction and maintenance.

Lawmakers backing the approval said the borrowing is necessary to close Nigeria’s budget deficit and sustain ongoing capital projects. However, some members expressed concern over the country’s rising debt profile, urging the government to ensure transparent management and effective use of the funds.

The approval adds to Nigeria’s growing public debt, which currently exceeds ₦100 trillion, raising fresh questions about long-term fiscal sustainability and accountability in public spending.