comentSTreet🇨🇦

Tinubu Seeks Reps’ Approval To Borrow ₦10.8 Trillion in Fresh External Loans Under 2026 Budget President Bola Tinubu has sought approval for ₦10.8 trillion in external loans under the 2026 Appropriations Act. Defending the plan, he said, “The key question is not how much we borrow, but what we build, the value we create and the future we leave behind.” Projects include three superhighways, electricity grid improvements and Lagos port upgrades. He said the Lagos-Calabar Highway could cut transport costs by 15 to 20 per cent and create 250,000 direct and indirect jobs. “We cannot build a $1 trillion economy with infrastructure designed for an economy a fraction of that size,” he added. Tinubu cited 4.43 per cent GDP growth in the second quarter of 2026 and inflation falling to 14.63 per cent in September. He acknowledged that debt servicing took about 65 per cent of government revenue in the first half of the year. However, NLC President Joe Ajaero questioned further foreign borrowing despite claims of increased revenue after petrol subsidy removal. Speaking on Channels Television’s The Morning Brief, he asked, “What is the justification for continually borrowing from the International Monetary Fund and the World Bank and other agencies when there is enough money?” Ajaero also questioned borrowing as crude prices rose above the 2026 budget benchmark of $70 per barrel. “If the 2026 budget was prepared with crude oil price benchmarked at $70 per barrel and now sells above $100 per barrel due to the US-Iran crisis, should this country still be taking loans?” he asked. He urged Nigerians to demand accountability, noting that the NLC had no authority to approve or reject government loans. Tinubu said the plan should be judged by its results: “Securing financing is only the beginning. The real achievement lies in completing projects, delivering value for money, and improving Nigerians’ lives.”