House of Representatives on Wednesday approved President Bola Tinubu’s request to borrow N1.150 trillion to finance the budget deficit created by an increase in the budget size beyond previously approved revenue and borrowing plans.
This followed the consideration and adoption of the report of the House Committee on Aids, Loans and Debts Management at plenary.
The report, presented by the committee chairman, Hon. Abubakar Hassan Nalaraba (APC, Nasarawa), urged the House in the Committee of Supply to consider and approve a total borrowing plan of N1.150 trillion in the domestic debt market to close the unfunded 2025 budget deficit.
Daily Source reports that Tinubu’s request was contained in a letter addressed to Speaker Abbas Tajudeen and read at plenary last week by Deputy Speaker Benjamin Kalu, who presided over the sitting.
The president explained that the request was in line with Section 44(1-2) of the Fiscal Responsibility Act (FRA) 2007, which requires National Assembly approval for all new borrowings by the Federal Government.
He noted that the National Assembly passed a budget of N59.99 trillion—an increase of N5.25 trillion from the N49.74 trillion originally proposed by the Executive—resulting in a total budget deficit of N14.10 trillion.
However, only N12.95 trillion was initially approved for borrowing, leaving an unfunded gap of about N1.15 trillion.
President Tinubu therefore sought the lawmakers’ approval to expand the domestic borrowing limit in the 2025 budget to bridge the funding shortfall and ensure smooth implementation of fiscal plans.
