Senate approves Buhari’s $6.1bn loan request

Senate President

The Senate on Wednesday approved the request of the President, Muhammadu Buhari, to borrow N2,343,387,942,848, to part-finance the 2021 federal budget size of N13trn.

The $6.1 billion loan request, which is equivalent to about N2.343 trillion, was approved on Wednesday by the Senate. The Senate’s decision follows the approval of its Committee on Local and Foreign Loans as presented by the Chairman, Clifford Ordia. Mr Odia in his presentation said the request is not new as it was approved in the borrowing plan when the national assembly passed the 2021 budget.

“What we are about to pass is not a new borrowing, it has been approved in the 2021 budget,” he said.

The President had, in May, asked the National Assembly to approve the loan to part-finance the 2021 federal budget. The loan, he said, will be raised from multilateral and bilateral tenders as well as the international capital market. After the approval, the Senate President, Ahmad Lawan, said the National Assembly will ensure there are no frivolous spending by the executive.