The Nigerian Senate has approved President Bola Ahmed Tinubu’s request for a N1.15 trillion domestic loan to bridge the 2025 budget deficit. The approval comes as part of the government’s strategy to ensure uninterrupted funding of key projects and programs under the current fiscal year.

During plenary, lawmakers emphasized the importance of prudent management of the borrowed funds to avoid undue inflationary pressures and ensure that the resources directly support infrastructure, social services, and economic growth. The loan will be sourced from domestic financial markets, reflecting the government’s focus on leveraging local resources while maintaining fiscal stability.

President Tinubu had earlier presented the 2025 budget to the National Assembly, highlighting the need for supplementary funding to cover shortfalls in projected revenue and ensure that priority projects are not stalled. The Senate’s approval paves the way for the Executive to access the funds and implement the budget efficiently.

The move has been welcomed by economic analysts, who note that, if properly managed, the loan could accelerate development projects, enhance employment, and stimulate economic activity across sectors.