The Senate and House of Representatives have approved the Federal Government’s request to borrow N1.150 trillion domestically to bridge the unfunded deficit in the 2025 budget. Lawmakers gave their approval following deliberations on the fiscal implications of the expanded budget size and the government’s assurances that the loan would be sourced on concessional terms with minimal interest rates.

Jocomms Correspondent reports that the Federal Government explained the borrowing will be channelled toward long-term capital projects and human capital development initiatives aimed at stimulating economic growth. According to finance officials, the funds will support key infrastructure projects, education, and health investments, while ensuring that the deficit remains within the limits set by the Fiscal Responsibility Act. Legislators emphasised the importance of transparency and accountability in the deployment of the borrowed funds to guarantee tangible benefits for citizens.

The approval brings renewed debate over Nigeria’s rising debt profile, even as the government insists the borrowing is sustainable and necessary to maintain fiscal stability. Economists, however, warn that without robust revenue generation, reliance on debt could strain future budgets. As Nigeria moves to implement its 2025 spending plan, many are asking—will this latest borrowing drive real development or deepen the nation’s debt burden? Visit www.jocomms.com for more news.