Buhari Seeks Senate’s Approval For $6.183bn External Loan

President Muhammadu Buhari has sought the approval of the Senate for an external loan of $6.183billion to fund the deficit of N5.602trillion in 2021 Appropriation Act.
This is contained in a letter addressed to the President of Senate, Dr Ahmad Lawan, and read at plenary, yesterday.
Buhari said the request was in line with the provisions of Section 21(1) and 27(1) of the Debt Management Office (DMO) Establishment Act 2003.
He said the loan would be sourced from a combination of multilateral and bilateral lenders and International Capital Market (ICM) through issuance of Euro bonds.
Buhari said accessing the ICM would be relatively cheaper, thereby moderating debt service cost and ensuring increase in external reserve.
The letter requested for a resolution of the National Assembly for the implementation of the external borrowing of $2.18billion in the 2021 Appropriations Act, among others.
It also requested for the approval of Donor Funded Projects under the 2018-2020 Federal Government external borrowing rolling plan.
In Naira terms, the total loan request is N2,343,387,942,848.00.