The Presidency through Sunday Dare, Special Adviser on Media and Public Communication to President Bola Tinubu, has come out to set the record straight on the country’s borrowing plan.
Dare said, the Senate approved a “Medium-Term Borrowing Plan, not ₦21 trillion for immediate spending.”
He added, the “$21 billion loan” will be used for “critical infrastructure and social project”.
Taking to X, Sunday Dare revealed: “What Was Approved?
“The Senate approved a Medium-Term Borrowing Plan, not ₦21 trillion for immediate spending.
• Foreign Loans: ~$21 billion (including €4bn, ¥15bn & a $65m grant)
• Domestic Bond: $2 billion (~₦758bn)
“Disbursement is over 2025–2026, not a lump sum. These funds support targeted investments—not recurrent budgets.
“Where’s the Money Going?
Every dollar is tied to critical infrastructure and social projects:
• Rail, power, broadband
• Health and education
• Housing and security
“This is how economies grow—not through handouts or headlines, but by fixing roads, lights, and lives.
“Is the Debt Sustainable?Yes. After the July 2025 GDP rebasing, Nigeria’s debt-to-GDP ratio dropped to ~39%, below our 40% cap. Our borrowing remains within safe limits, guided by a debt strategy that favors concessional loans and careful oversight.
“Who’s Watching the Process?
Disbursements are stage-gated. No funds move without:
• FEC approval
• DMO oversight
• National Assembly review
“This is accountability by design—not business as usual.
“What About the ₦758bn Pension Bond?
It’s not new spending. It’s a restructuring tool to settle pension arrears and honor commitments to retired workers.
“What Reforms Back This Up?
President Tinubu’s reforms—fuel subsidy removal, FX unification—have been tough but necessary. The borrowing plan helps cushion the impact while driving long-term results.
“Bottom Line
Nigeria’s borrowing is planned, project-linked, and responsible.
It is not a free-for-all.
It is not unsustainable.
And it is not business as usual.
“Let’s debate with data. Let’s lead with truth.”
