By Nathaniel Zaccheaus, Abuja
Fresh concerns over Nigeria’s rising debt profile have trailed the National Assembly’s consideration of new external borrowing totalling $6 billion, alongside an upward revision of the 2026 budget to ₦68.323 trillion.
This came as opposition figures faulted the pace of the approval process, warning that the increasing reliance on borrowing could heighten fiscal risks and weaken legislative oversight.
At plenary, Senate President Godswill Akpabio read correspondences from President Bola Tinubu seeking legislative approval for multiple external financing arrangements, including a Structured Total Return Swap facility of up to $5 billion with First Abu Dhabi Bank.
Tinubu said the facility is intended to “support government liquidity, finance infrastructure projects and refinance existing obligations,” noting that it would be implemented in phases to moderate its impact on the country’s debt profile.
The President also sought approval for a $1 billion facility backed by UK Export Finance and arranged by Citibank London for the rehabilitation of Apapa and Tin Can Island ports.
Tinubu warned that the facilities have deteriorated after decades of use, stating that inefficiencies at the ports have contributed to cargo diversion to neighbouring countries and weakened Nigeria’s competitiveness.
According to the proposal, the rehabilitation, to be executed by the Nigerian Ports Authority under an Engineering, Procurement, Construction plus Finance model, is expected to restore operational capacity and improve safety standards.
The borrowing requests came as the National Assembly expanded the 2026 Appropriation Bill from the ₦58.18 trillion initially presented in December 2025 to ₦68.323 trillion.
Chairman of the Senate Committee on Appropriations, Senator Olamilekan Adeola, said the adjustment was necessary to accommodate outstanding commitments and align spending with economic realities.
He said the revised fiscal framework “balances inherited obligations with current development priorities,” adding that the objective is to sustain economic stability and improve the investment climate.
A major component of the increase is the rollover of ₦7.71 trillion in capital commitments from the 2025 fiscal year.
Lawmakers said many projects could not be fully executed due to revenue shortfalls and administrative delays, necessitating their continuation to prevent cost escalation and abandonment.
The revised budget structure includes ₦4.799 trillion for statutory transfers, ₦15.809 trillion for debt servicing, ₦15.427 trillion for recurrent (non-debt) expenditure and ₦32.287 trillion for capital expenditure.
In addition to clearing legacy obligations, lawmakers approved fresh allocations to strategic sectors considered critical to economic growth.
Under the Ministry of Finance Incorporated, ₦478.6 billion was provided as government equity contribution to support rail development projects in Lagos, Kano, Kaduna and Ogun States, as well as feasibility studies for new rail lines in Enugu and Maiduguri.
Further provisions include ₦8.96 billion for feasibility studies covering the Calabar–Maiduguri corridor and the proposed Maiduguri–Sokoto highway as part of broader transport expansion plans.
In the health sector, an additional $344.83 million was allocated to support intervention programmes linked to international agreements to strengthen healthcare delivery and infrastructure nationwide.
The judiciary also received enhanced funding, including ₦98.5 billion for the Court of Appeal, ₦36.7 billion for the Supreme Court and ₦268.54 billion to strengthen judicial capacity ahead of the 2027 general elections.
Lawmakers said improved funding would support the timely resolution of electoral disputes and reinforce democratic processes.
To support financing the expanded budget, the legislature adopted a combination of revenue adjustments and borrowing measures, including a $ 10-per-barrel upward revision of the oil benchmark, projected to generate an additional ₦2.592 trillion.
Higher projected tax contributions from the telecommunications sector are also expected to boost revenues, with MTN Nigeria projected to remit about ₦724 billion in company income tax, while Airtel Nigeria is expected to contribute about ₦150 billion.
Despite these revenue projections, lawmakers approved an increase in external borrowing estimated at ₦6.163 trillion to bridge the financing gap.
Lawmakers also expressed concern over persistent weaknesses in budget implementation, noting that delays in fund releases and administrative bottlenecks undermined execution of the 2025 fiscal plan.
To facilitate the completion of ongoing projects, the National Assembly approved extending the 2025 budget implementation period to June 30, 2026.
*Plenary adjourned to April 21
Following deliberations on the fiscal framework and borrowing requests, the plenary was adjourned until April 21, 2026.
*Opposition slams approval, warns on oversight
He noted that a decision of such profound national consequence, one that will further burden an already strained economy and mortgage the future of generations yet unborn, cannot be treated with such reckless urgency.
“What Nigerians have witnessed is not legislative diligence, but a disturbing erosion of oversight responsibility,” he said.
He stressed that the National Assembly is not designed to function as a mere rubber stamp but as a constitutional safeguard meant to interrogate, scrutinise, and protect the interests of the Nigerian people.
The Senate, which ought to serve as a constitutional safeguard, has instead reduced itself to a conveyor belt, processing requests of grave national consequence without due diligence.
Borrowing decisions that will bind generations yet unborn cannot, and must not, be treated with this level of casual urgency.
“Where was the debate? Where was the rigorous analysis? Where was the accountability?” Atiku queried.
He warned that approving a multi-billion-dollar borrowing request in record time, without visible scrutiny, raises serious questions about due process and the legislature’s commitment to its constitutional duty.
While these objectives may appear routine on the surface, Atiku warned that they expose deeper structural weaknesses in the nation’s fiscal management.
“Resorting to fresh borrowing to service existing debts, plug budget gaps, and meet routine obligations is not a strategy—it is a dangerous cycle. It reflects a troubling absence of fiscal discipline, clear prioritisation, and sustainable economic planning,” he said.
He further anchored his concerns on emerging fiscal indicators, noting that between January and February 2026, the World Bank reported that Nigeria’s exposure to the International Development Association (IDA) had risen to $18.7 billion, placing the country among the largest recipients of concessional loans globally.
“In March 2026 alone, the President is requesting an additional $6 billion external loan, even as the Debt Management Office continues aggressive domestic borrowing through high-volume bond auctions, as evidenced by the March 2026 FGN Bond Offer Circular, largely to finance immediate government obligations and service existing debt,” he added.
According to Atiku, this pattern reflects an unsustainable borrowing trajectory that places the country on a dangerous fiscal path.
The former vice president further questioned whether the development signals a deliberate attempt to mortgage the country’s future.
“Because that is what it suggests,” he added.
“What does a government that appears to be preparing for electoral rejection in 2027 intend to do with an additional $6 billion in borrowed funds, on top of the mounting obligations it has already accumulated in just the first quarter of 2026?”
Atiku emphasised that at a time when Nigeria’s debt profile continues to rise, and debt servicing consumes a significant portion of national revenue, prudence—not haste—should guide fiscal decisions.
“Borrowing is not inherently wrong, but reckless borrowing, enabled by legislative complacency, is dangerous,” he said.
He added that the speed of the approval suggests a troubling sense of desperation, one that does not inspire confidence in the country’s long-term economic direction.
“Nigeria is not a private enterprise to be leveraged at will. The future of our nation cannot be signed away in a matter of hours,” he stated.
Atiku called on the Senate to remember its constitutional role as a check on executive excesses, not an extension of it, insisting that Nigerians deserve transparency, accountability, and responsible governance
