Senate Approves $21 Billion Foreign Borrowing Plan.
Nigeria’s Senate on July 23, 2025, approved President Bola Tinubu’s proposal to secure over $21 billion in foreign loans—including euros, yen, and a $65 million grant—to address shortfalls in the 2025 budget . Senate Appropriations Committee Chair Solomon Adeola said the funds would finance vital sectors: infrastructure, healthcare, education, security, and housing.
Included in the package is €4 billion, ¥15 billion, $2 billion in domestic dollar borrowings, and $3 billion aimed at revamping Nigeria’s 2,044 km eastern rail corridor . The next step is expected in the House of Representatives, anticipated to approve the plan on July 24.
The approval underscores Tinubu’s strategy of fiscal expansion amidst persistent inflation and rising living costs—following subsidy removal and naira devaluation . Proponents argue the borrowing is essential to meet developmental goals; critics warn it increases debt and further pressures the naira.
The brewing domestic debate centers on whether long-term growth justifies the borrowing, as economic reforms face intense public scrutiny.
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