President Bola Tinubu has asked the National Assembly to approve a fresh N1.15 trillion domestic loan to finance part of the 2025 budget deficit.
The request was contained in a letter read by Senate President Godswill Akpabio during plenary on Tuesday.
Tinubu explained that the proposed borrowing was necessary to bridge fiscal gaps and sustain key programmes and projects captured in the 2025 national budget.
According to the President, the request is in line with Section 44 (1) and (2) of the Fiscal Responsibility Act, 2007, and Section 1(7) of the Executive Order, which mandate legislative approval for all new borrowings and the appropriation of loan proceeds.
In addition to the N1.15 trillion loan, Tinubu also sought the National Assembly’s approval for the issuance of N758 billion in domestic bonds to offset outstanding pension liabilities under the contributory pension scheme.
He noted that the initiative would help clear arrears and reaffirm his administration’s commitment to the welfare of retired public workers.
Senate President Akpabio subsequently referred the request to the Senate Committee on Local and Foreign Debt for legislative scrutiny, directing the panel to report back within one week for further action.
Salient Times recalls that the latest borrowing request comes days after the Senate approved Tinubu’s $2.847 billion external borrowing plan, which includes a $500 million debut Sovereign Sukuk, to fund the 2025 budget and refinance maturing Eurobonds.
Earlier in May 2025, the President had also sought parliamentary approval for a $21.5 billion external loan to finance critical infrastructure and social sector projects in health, education, and water supply.
