THUR NOV 05 2026-theGBJournal| President Bola Tinubu has asked the Senate to approve a fresh external borrowing of N10.79 trillion ($7.7 billion) to finance part of the Federal Government’s 2026 budget deficit.
In his request, Tinubu said the 2026 Appropriation Act provides for N29.2 trillion in new borrowings to help finance an estimated budget deficit of N31.4 trillion.
The proposed $7.7 billion facility replaces an earlier $20.5 billion borrowing request, offering greater clarity on the government’s external financing plans.
However, the move raises fresh concerns over Nigeria’s mounting debt burden and the sustainability of public finances.
Nigeria’s public debt has already climbed to N166.79 trillion, while debt servicing consumed approximately 91% of government revenue in the first quarter of 2026.
The additional borrowing could further intensify pressure on government finances, raising questions about the country’s capacity to service its growing debt obligations while meeting critical infrastructure and development needs.
X-@theGBJournal|email:gbj@govbusinessjournal.com|govandbusinessj@gmail.com
