LunagisthubSenate Approves N1.15 Trillion Domestic Loan Request
The Nigerian Senate has approved President Bola Tinubu’s request to raise N1.15 trillion from the domestic debt market to cover the unfunded portion of the 2025 budget deficit. This approval follows the adoption of a report by the Senate Committee on Local and Foreign Debt.
The 2025 Appropriation Act provides for a total expenditure of N59.99 trillion, which is an increase of N5.25 trillion from the initial N54.74 trillion proposed by the Executive. This expansion has resulted in a total budget deficit of N14.10 trillion, with N12.95 trillion already approved for borrowing, leaving an unfunded deficit of approximately N1.15 trillion.
President Tinubu formally requested the fresh N1.15 trillion borrowing on November 4, stating that it would bridge the funding gap and ensure full implementation of government programs and projects under the 2025 fiscal plan.
The Senate has directed its Committee on Appropriations to intensify oversight to ensure that the borrowed funds are properly implemented and used strictly for their intended purposes. This move aims to promote transparency and accountability in the use of public funds.
The approved loan will likely have a significant impact on Nigeria’s economy and citizens. As the government moves forward with implementing its 2025 fiscal plan, it will be crucial to monitor how the borrowed funds are utilized to ensure that they yield the desired results.
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