The senate has approved the request of President Bola Tinubu to borrow the sums of $7.8 billion and €100 million as part of the 2022-2024 borrowing plan of the federal government.
The request was granted following the senate consideration and adoption of the report of its committee on local and foreign debt during Saturday’s plenary.
Tinubu had sent a request to the national assembly to approve the sum, saying the funds, when obtained, would be used to assuage the current economic realities and undertake many projects cutting across various sectors of the economy.
According to the president, the foreign loan was crucial to bridge the budget deficit and get the nation’s economic operations back to normal.
Tinubu said the projects would be implemented in all the states and the federal capital territory (FCT).
The national assembly, on Saturday, also approved Tinubu’s request for the securitisation of outstanding N7.3 trillion ways and means debt balance.
According to the president, it is crucial to securitise the outstanding ways and means advance of the federal government before the end of 2023.
He said securitisation will lead to the realisation of some benefits, such as reduction of debt service costs.
