By Gloria Essien, Abuja
The House of Representatives has approved President Bola Tinubu’s request to secure a total of $2.347bn from the international capital market to part-finance the 2025 budget deficit and refinance maturing Eurobonds.
The approval followed the consideration and adoption of a report presented by the Chairman House Committee on Aids, Loans, and Debt Management, Mr. Abubakar Hassan Nalaraba.
According to the committee’s report, the new borrowing plan comprises $1.23bn to fund the 2025 budget deficit and $1.12bn to refinance Nigeria’s Eurobond maturing in November 2025.
Adopting the recommendations of the committee, the House authorised the Federal Government to implement the external borrowing component of the 2025 Appropriation Act amounting to ₦1.84tn (approximately $1.23bn) at the budget exchange rate of ₦1,500 to $1
Lawmakers also approved for the government to access the loans through Eurobond issuance, loan syndication, bridge financing facilities, or direct borrowing from international financial institutions.
The House also endorsed President Tinubu’s proposal to issue Nigeria’s first-ever Sovereign Sukuk bond of up to $500m in the international capital market, with or without a credit guarantee.