Nigeria’s President, Bola Ahmed Tinubu, has requested approval from the National Assembly to borrow N1.15 trillion from the domestic market to finance part of the 2025 national budget deficit.
The request, delivered through a formal letter read by Senate President Godswill Akpabio on Tuesday, highlights the administration’s strategy to rely more on local borrowing amid limited external financing options.
According to the letter, the proposed facility is intended to support ongoing government programmes, capital projects, and other fiscal obligations under the 2025 budget.
The Senate President referred the proposal to the Senate Committee on Local and Foreign Debt, directing it to review and report back within one week for further legislative action.
Tinubu’s request forms part of Nigeria’s broader effort to manage its financing gap through domestic instruments, a move economists say helps reduce foreign exchange pressure but increases local debt servicing costs.
Nigeria’s domestic debt has grown steadily over the past three years as the government turns to the local bond market to fund infrastructure, social programmes, and energy transition initiatives.
The administration maintains that prudent borrowing remains vital to sustaining public investment and supporting economic recovery under its Renewed Hope Agenda.
