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Senate approves Tinubu’s $2.2bn loan request



The senate has approved a $2.2 billion loan request by President Bola Tinubu.

 

The upper legislative chamber approved the loan request after it considered a report by Aliyu Wamakko, chair of the committee on local and foreign debt.

 

The sum – equivalent to N1.7 trillion using the exchange rate of N800 to a dollar – will be used to finance the N9.1 trillion deficit in the 2024 budget.

 

While presenting his report, Wamakko said the funds would be raised through instruments like the Eurobonds and Sukuk.

 

Tinubu had asked the national assembly to approve the loan request on Tuesday.

 

The federal executive council (FEC) had $2.2 billion external borrowing plan to “strengthen the country’s finances and support economic reforms”.

 

Wale Edun, minister of finance and coordinating minister of the economy, had said approximately $1.7 billion is expected from the eurobond offer and $500 million from the sukuk financing.

 

Edun said the borrowing would happen this fiscal year, adding that the ultimate funding arrangement would be decided by market conditions and the transaction adviser’s counsel.

 

The federal government has proposed N47.9 trillion as the total expenditure in the 2025 fiscal year.

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1 comment

  1. I never thought that Nigeria as big as it is, and blessed with intelligent people would allow the U.S. manipulate our leaders and force or impose loans on them even though they don’t want them. The IMF/WORLD BANk, belongs to the United States of America and they and he has the final say on which country they want to indebt them for the next number of years. This’s the way which the US used to bully and dictate his atrocious actions and principles to Africa leaders. These loans don’t get to Nigeria but they stay in America Treasury for the administration to pay his internal debt and when Nigeria has any project, they will tender their invoice to the U.S. Treasury Secretary and collect the money in cash, this is how they treat our leaders, and I think this is financial colonialism. Can the government show Nigerians citizens, the daily or monthly oil revenues with statement of account drawn by NNPC Accountants? If the government is not operating a dubious business with the United States, where are the projects which these loans are being used.? It’s pitiful to see Nigeria still obey and allow the U.S. to imperialise Nigeria financial institutions and this’s why at a time , successive presidents in Nigeria held the post of petroleum minister in order to cover up the corruption in the oil industry..

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