Tag: DEBT

Electricity: Tinubu approves ₦3.3tr debt settlement plan to restore reliable supply

Aminu Imam
Tinubu on electricity debt plan

President Bola Tinubu has approved a sweeping ₦3.3 trillion debt settlement plan for Nigeria’s power sector, as the Federal Government simultaneously ramps-up investment in renewable mini-grids with a fresh ₦9 billion disbursement to boost electricity access across underserved communities. The twin interventions, announced over the weekend, form part of a broader strategy to stabilise the country’s fragile electricity supply, restore investor confidence, and expand access to reliable power. In a statement by presidential spokesman Bayo Onanuga, the government said the ₦3.3 trillion approval represents a “full and final settlement” of…

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IMF warns Nigeria on debt prudence, amid $6bn infrastructure loan approval

Aminu Imam
IMF warns FG on debt

The International Monetary Fund (IMF) has urged caution in managing external loans, as the Tinubu administration secures a $6 billion facility to accelerate infrastructure development in transport and energy sectors. Approved from a consortium of international lenders, the funding aligns with global trends from Asia and aims to modernize roads, railways, power grids, and more—boosting economic growth, job creation, and regional trade. Analysts highlight potential for enhanced manufacturing and FDI, but stress fiscal sustainability through concessional terms, transparent monitoring, and revenue-linked projects. Analysts suggest that this injection of capital will…

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Senate approves Tinubu’s $6bn loan request, $1bn Lagos Port rehabilitation

Aminu Imam
Senate approves loan request

…As FG deepens borrowing strategy amid fiscal pressures The 10th Senate has approved President Bola Tinubu’s request to secure external loans amounting to $6 billion, a move that underscores the Federal Government’s increasing reliance on foreign financing to sustain public spending, infrastructure development and debt management. The approval was granted within three and a half hours after the President of the Senate, Senator Godswill Akpabio, read the President’s request letter during plenary. The decision followed the consideration and adoption of a report presented by Senator Aliyu Wamakko (APC, Sokoto-North), who…

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2026 Budget: FG to borrow again, as Senate flags ₦25.27tr deficit

Aminu Imam
FG to borrow again2

Nigeria will continue to borrow to plug its widening budget deficit, the 10th Senate has confirmed, amid mounting concerns that rising debt and weak revenue mobilisation could push the country toward fiscal distress. At a public hearing on the 2026 Appropriation Bill in Abuja, Chairman of the Senate Committee on Appropriations, Senator Solomon Adeola, disclosed that the proposed 2026 Budget projects total expenditure of ₦58.47 trillion against expected revenue of ₦33.19 trillion, leaving a deficit of ₦25.27 trillion. Debt servicing alone is estimated at ₦15.90 trillion. Adeola said borrowing had…

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Electricity debt hits ₦6.5tr, jeopardising FG’s ₦1.2tr bond

Aminu Imam
Electricity debt

Nigeria’s power sector debt surged 62.5% to ₦6.5 trillion in 2025, while electricity generating companies (GenCos) received just 35% of billed ₦1.53tr, worsening the liquidity crisis. Experts warn the FG’s ₦1.23tr power bond is risky due to poor electricity distribution companies (DisCos) collections and unbacked subsidies, threatening investment and power supply growth. Recall that the Government had flagged off the funding program through the issuance of ₦590 billion Series-1 Power Sector Bond in mid-December 2025, as part of a plan to raise ₦1.23 trillion by the end of the first quarter…

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FG writes-off $1.42bn, N5.57tr NNPCL debt

Aminu Imam
FG writes off NNPCL debt

President Bola Tinubu has approved the cancellation of a substantial portion of the debts owed by the Nigerian National Petroleum Company Limited, (NNPCL) to the Federation Account, wiping off about $1.42billion and N5.57trillion after a reconciliation of records between both parties. This is contained in a document prepared by the Nigerian Upstream Petroleum Regulatory Commission, (NUPRC), and presented at the November meeting of the Federation Account Allocation Committee, (FAAC). The report is titled: ‘Report of October 2025 Revenue Collection Presented at the Federation Account Allocation Committee Meeting Held on 18th…

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FG seeks fresh ₦1.15tr loan to plug widening 2025 Budget gap

Aminu Imam
FG seeks fresh loan

President Bola Tinubu has asked the National Assembly to approve a new ₦1.15 trillion domestic loan to help fund the deficit in the 2025 national budget. The request was contained in a letter to the Senate, which was read by Senate President Godswill Akpabio during yesterday’s plenary session. Tinubu explained that the additional borrowing is necessary to bridge the fiscal shortfall and sustain the implementation of key government programmes and projects outlined in the 2025 budget. “This request is made pursuant to Section 44 (1) and (2) of the Fiscal…

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IMF cautions Nigeria on rising debt, oil dependence

Aminu Imam
IMF cautions Nigeria

Nigeria found itself on a tightrope at the 2025 Annual Meetings of the International Monetary Fund (IMF) and the World Bank, where its reform efforts earned recognition while underlying vulnerabilities raised serious concern. According to the IMF’s ‘World Economic Outlook and Fiscal Monitor’, Nigeria’s growth forecast for 2025 was upgraded to 3.9 percent, up from 3.4 percent in July, due to stronger domestic fundamentals, improved oil production, and rising investor sentiment. Despite the positive outlook, the IMF flagged persistent risks for Nigeria’s economy. It warned that rising debt-servicing costs and…

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FG seeks fresh $2.35bn external loan, $500m Sovereign Sukuk

Aminu Imam
FG External loan2

President Bola Ahmed Tinubu has written to the 10th House of Representatives seeking its approval to raise a total of $2.347 billion from the international capital market to fund part of the 2025 Budget deficit, as well as refinance Nigeria’s maturing EuroBonds. He also sought approval for issuance of a $500 million debut sovereign Sukuk to support critical infrastructure development. The request was contained in a letter read by the Speaker of the House, Tajudeen Abbas, during plenary yesterday. According to the President,  the request was made pursuant to Sections…

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Speaker Abbas makes U-turn, says he never condemned FG’s borrowing

Aminu Imam
H'Reps Speaker, Abbas

Speaker of the 10th House of Representatives, Abbas Tajudeen, has clarified his position on Nigeria’s debt profile, insisting he never condemned government borrowing. Abbas had criticised the country’s reliance on loans during his remarks at the 11th Annual Conference and General Assembly of the West Africa Association of Public Accounts Committees, (WAAPAC). While the Speaker had expressed concern that Nigeria’s total public debt had reached ₦149.39 trillion, equivalent to about $97 billion, as of the first quarter of 2025, he said his comments were misrepresented. In a statement issued by…

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