The Senate and House of Representatives have approved President Bola Tinubu’s request to raise an additional ₦1.15 trillion through domestic borrowing to cover the deficit in the 2025 Appropriation Act.
Presenting the report, Senator Manu Haruna said the National Assembly had increased the budget from ₦54.74 trillion to ₦59.99 trillion, creating a ₦1.147 trillion shortfall that required new borrowing. He noted that the borrowing would remain within fiscal limits under the Fiscal Responsibility Act, while the Debt Management Office must ensure transparency and debt sustainability.
Senate Committee on Appropriations Chairman, Senator Solomon Adeola, said the domestic loan would help fund capital projects and avoid foreign exchange risks. Lawmakers also approved stronger oversight measures, directing committees to monitor borrowing, disbursement, and utilisation of funds.
Similarly, the House approved Tinubu’s plan to refinance $1.1 billion Eurobonds maturing in November 2025 and to access $2.3 billion in external capital through Eurobonds, syndicated loans, or facilities from international institutions.
Meanwhile, the Senate advanced major financial sector reforms, including a proposal to raise the Nigerian Export-Import Bank (NEXIM) capital base to ₦1 trillion, create an Export Development Trust Fund, and establish an Insurance Dispute Resolution Tribunal.
At a public hearing, lawmakers and stakeholders said the reforms would modernise outdated financial laws and align Nigeria’s system with global standards. NEXIM MD Abba Bello and others supported the recapitalisation, citing the bank’s outdated ₦50 billion capital as inadequate for Nigeria’s export ambitions.
Insurance Commissioner Olusegun Omosehin hailed the proposed tribunal and trust fund as crucial for rebuilding confidence and supporting exporters. Senate Committee Chairman, Senator Tokunbo Abiru, said the bills would strengthen institutions and make Nigeria’s financial system more competitive and transparent.
