The Presidency has dismissed reports claiming President Bola Ahmed Tinubu plans to secure a $20 billion loan in a single transaction, emphasizing that recent communications with the National Assembly have been misunderstood.Dada Olusegun, the Special Assistant on Social Media to the President, issued a statement via his verified X (formerly Twitter) account to clarify the situation.
“To be clear, the President is not requesting a $20 billion loan as some have suggested,” Olusegun stated.
He explained that the reference was part of the 2025–2026 Medium Term Expenditure Framework (MTEF), which sets out anticipated borrowing requirements for both federal and state governments over the coming two years.
“It’s crucial to dispel the misconception linking the 2025–2026 MTEF to a single $20 billion borrowing request,” he added.
Olusegun further elaborated that the government consolidates its planned foreign borrowings into a comprehensive framework to simplify the legislative process and prevent frequent approvals from the Senate.
“This approach eliminates the need to seek Senate approval repeatedly for each external borrowing. Instead, all proposed borrowings—covering all 36 states and the Federal Government—are presented collectively to the National Assembly,” he explained.
He emphasized that states depend on federal guarantees to access international funds, and Senate approval does not mean immediate access or full utilization of the proposed funds.
“States cannot secure international financing without the Federal Government acting as a guarantor, and therefore, the Senate’s approval of external borrowing is necessary,” Olusegun noted.
Additionally, he revealed that the Federal Government plans to raise $2 billion domestically to fund infrastructure projects.
“This marks the beginning of various initiatives aimed at closing Nigeria’s infrastructural gap,” he said.
Finally, the aide remarked that loans are valuable financial tools when used appropriately. What is important is transparency and accountability in how these funds are managed—those are the pressing questions Nigerians should ask.