President Tinubu had told the lawmakers that the funds from the UAE and the Uk would be deployed toward budget implementation, critical infrastructure development, and refinancing of existing high-cost domestic and external debts.
The House of Representatives has approved a $6 billion external borrowing request submitted by Bola Tinubu, clearing the way for the federal government to access financing from lenders in the United Arab Emirates and the United Kingdom.
The request, contained in two separate letters addressed to the Speaker, Abbas Tajudeen, was read during plenary on Tuesday.
In the first communication, Mr Tinubu sought legislative approval to establish a structured Total Return Swap (TRS) external financing programme of up to $5 billion with First Abu Dhabi Bank.
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The facility, according to the president, will be disbursed in tranches to support the federal government's financing needs.
He explained that the request was made in line with Sections 21(1) and 27(1) of the Debt Management Office Establishment Act, 2003, which require National Assembly approval for external borrowing arrangements.
"The purpose of this letter is to request for the approval and resolution of the national assembly pursuant to the provisions of section 21(1) and 27(1) of the debt management office establishment act 2003 to establish a structured total return swap (TRS) derivative external financing programme from First Abu Dhabi Bank of the United Arab Emirates of up to $5 billion which will be made available to the Federal Republic of Nigeria in tranches," the letter read.
The president noted that the proposed facility would increase Nigeria's public debt stock, which stood at $110.3 billion, approximately ₦159.2 trillion as of 31 December 2025.
He, however, stated that the funds would be deployed toward budget implementation, critical infrastructure development, and refinancing of existing high-cost domestic and external debts.
In a separate letter, Mr Tinubu also requested approval for a $1 billion export credit facility backed by UK Export Finance and arranged by Citibank, London branch.
The loan is designated for the reconstruction and rehabilitation of the Lagos Port Complex and Tin Can Island Port, two of Nigeria's busiest maritime gateways.
Following the presentation, Mr Tajudeen referred the requests to the House Committee on Aids, Loans and Debt Management for review.
The committee's chairman, Abubakar Nalaraba, subsequently moved a motion for the report to be considered at the Committee of Supply.
After deliberation, the House adopted the committee's recommendations and approved the president's borrowing plan
Senate approves request
Also, the Senate on Tuesday granted President Tinubu approval to obtain two fresh foreign loans.
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The decision was taken after considering a report of the Senate Committee on Local and Foreign Debts, presented during the plenary by its Chairman, Aliyu Wamakko.
The committee's report was debated and approved shortly after the loan requests were referred to it for scrutiny.
The report
Mr Wamakko, the senator representing Sokoto North Senatorial District, while presenting the report, said the committee members had thoroughly examined the president's request and found it worthy of approval.
The former Sokoto governor recommended the approval of the loans accordingly.
The senate president thereafter put the request to a vote, and the majority of the senators supported it.
