Amdist Nigeria’s growing debt profile, the Senate has approved the request of President Muhammadu Buhari to borrow N2,343,387,942,848, to part finance the 2021 federal budget size of N13trn.
The Senate resolution on Wednesday followed the approval of its Committee on Local and Foreign Loans as presented by the Chairman, Clifford Ordia.
There have been growing concerns over Nigeria’s borrowing and this new borrowing will raise Nigeria debt stock to about N36.3 trillion.
The Committee recommended that the Senate approves Buhari’s request for the issuance of $3,000,000,000 but not more than $6,183,081,643.40,Eurobond in the International Capital Market.
The External Borrowing of N2,343,387,942,848, according to the panel, should be for the financing of part of the deficit authorised in the 2021 Appropriation Act.
The Committee also recommended that the Senate should approve that the amount authorised may be raised from multiple sources such as the International Capital Market and any other Multilateral or Bilateral sources as may be available.