President Bola Ahmed Tinubu has formally requested the approval of the National Assembly for a fresh domestic loan of ₦1.15 trillion to bridge the funding gap in the 2025 national budget. The request was conveyed in a letter read on the Senate floor by Senate President Godswill Akpabio during plenary on Tuesday.
The proposed borrowing is part of the administration’s broader fiscal strategy to ensure full implementation of government programmes and capital projects outlined in the 2025 budget. The loan will be sourced from the domestic debt market and is expected to support critical sectors including infrastructure, education, healthcare, and security.
Under the 2025 budget proposal, the federal government projects total revenue of approximately ₦34.82 trillion, while total expenditure is estimated at ₦49.70 trillion. This leaves a deficit of about ₦13.39 trillion, representing 3.9% of Nigeria’s Gross Domestic Product (GDP).
The ₦1.15 trillion domestic loan request is intended to cover part of this deficit, complementing other financing sources such as external borrowing, sovereign bonds, and sukuk issuance.
President Tinubu’s request is made pursuant to Section 44, Subsections 1 and 2 of the Fiscal Responsibility Act, 2007, which mandates National Assembly approval for all new borrowings by the federal government. The Senate has referred the proposal to its Committee on Local and Foreign Debt for further legislative scrutiny. The committee is expected to submit its report within one week.
Senate President Akpabio assured lawmakers that the borrowing plan will be carefully reviewed to ensure fiscal sustainability and alignment with national development goals.
The Tinubu administration remains committed to prudent fiscal management and economic reform. The domestic loan initiative reflects the government’s preference for internal financing options that reduce exposure to foreign exchange volatility and external debt risks.
Presidential spokesperson Ajuri Ngelale stated that the loan will be deployed transparently and monitored closely to deliver measurable outcomes. He emphasized that the administration is focused on stimulating growth, creating jobs, and improving public service delivery.
The Presidency encourages public discourse on the budget and welcomes input from civil society, economists, and development partners. Citizens are urged to follow the legislative process and engage constructively with their representatives.