Tinubu Seeks Reps’ Approval To Borrow $7.86bn, €100m

President Bola Tinubu has written the House of Representatives, seeking approval to take a loan of

$7.86 billion and €100 million under the federal government 2022-2024 external borrowing plan.

The President’s request was contained in a letter addressed to the Speaker of the House of Representatives, Abbas Tajudeen who read it at plenary on Wednesday.

Tinubu said if the loan request is granted, the funds will be used to develop infrastructure, agriculture, health, education, water supply, security and employment as well as financial management reforms.

He said in the letter that the Federal Executive Council under the Muhammadu Buhari administration approved the loan on May 15  to finance infrastructure, health, education, agriculture, insecurity and other sectors.

“The House is invited to note that following the removal of fuel subsidy and its impact on the economy in the country, the African Development Bank (AFDB) and the World Bank Group (WBG) have indicated interest in assisting the country in mitigating the economic shores and recent reforms with a sum of $1 billion and $2 billion respectively in addition to the Federal Executive Council approved 2022-2024 external borrowing plan.

“Consequently, the required approval is of $7,864,508,559 dollars and in terms of euro, €100 million euros.

“The project cuts across all sectors with specific emphasis on infrastructure, agriculture, health, education, water supply, security and employment as well as financial management reforms, among others.

“The total facility of the projects and programmes under the borrowing plan is $7,864,508,559 dollars and then in Euro, 100 million euros respectively,” the letter read.