Tinubu Seeks $6 Billion Loan Approval from Senate

President Bola Ahmed Tinubu has sought the Nigerian Senate's approval for a total loan of $6 billion from the United Arab Emirates and the United Kingdom. In a letter addressed to Senate President Godswill Akpabio, read during the plenary session on Tuesday, Tinubu requested approval for a $5 billion facility from First Abu Dhabi Bank.

This loan would increase Nigeria's total public debt from $110.3 billion to $115.3 billion. The President emphasized the urgency of granting approval, noting that the loan would be backed by naira-denominated securities as collateral.

Additionally, he requested approval for a $1 billion loan aimed at rehabilitating the Lagos Port Complex and Tin Island Port, with arrangements facilitated by Citibank London and backed by UK Export Finance. The proposed loan has a repayment tenure of 14 years, including a 48-month availability period, with an availability fee of 1.1 percent and a UK Export Finance premium of 1.07 percent.

The Senate committee will further scrutinize the request and report back to the plenary soon.