The Senate today March 31, passed the 2026 Appropriation Bill of N68.32 trillion, a significant increase from the N58.47 trillion initially presented by President Tinubu in December 2025.
The upper chamber approved the revised figure following a formal request by President Tinubu, who had earlier written to the Senate to notify it of an upward review of the 2026 budget to accommodate additional fiscal realities and national priorities.
The President themed the budget as the “Budget of Consolidation, Renewed Resilience and Shared Prosperity” and said it is designed to consolidate macroeconomic stability, improve the business environment, promote job creation, and reduce poverty while strengthening human capital and protecting vulnerable Nigerians.
The approved sum of N68,323,309,818,667 comprises N4.8 trillion for statutory transfers, N15.81 trillion for debt servicing, N15.43 trillion for recurrent expenditure, and N32.29 trillion for capital expenditure, with the capital component taking the largest share in line with the government’s infrastructure and development agenda.
The increase in the budget size followed the inclusion of N7.71 trillion to cover outstanding capital obligations carried over from the 2025 fiscal year, as well as an additional N2 trillion for priority projects across multiple sectors that were not captured in the original proposal.
Lawmakers noted that many of the 2025 capital projects were unlikely to be completed before the budget expired, necessitating their rollover into the 2026 fiscal framework.
The Senate also approved several strategic interventions contained in the President’s request, including N478.6 billion as equity contribution for presidential legacy light rail projects in Lagos, Kano, Kaduna, and Ogun states, as well as feasibility studies for Enugu and Maiduguri urban rail systems. It further approved N8.96 billion for feasibility studies for the Calabar–Maiduguri corridor and the Maiduguri–Sokoto superhighway.
In the health sector, N482.76 billion was provided for priority interventions tied to existing bilateral commitments. At the same time, the judiciary received significant allocations, including N98.5 billion for the Court of Appeal, N36.7 billion for the Supreme Court, and N268.54 billion to strengthen judicial capacity and support the anticipated increase in the number of judges ahead of the 2027 general elections.
Meanwhile, the Senate has approved President Bola Tinubu’s request to obtain external loans totalling $6 billion. The decision followed the consideration of a report presented by Senator Aliyu Wamakko, Chairman of the Senate Committee on Local and Foreign Debts.
The request was conveyed in two separate letters addressed to the Senate and read during plenary on Tuesday, March 31 In the first letter, the President sought approval to establish a structured total return swap (TRS) external financing programme of up to $5 billion with First Abu Dhabi Bank.
According to the President, the loan will be released in tranches and used to support budget implementation, fund priority infrastructure projects, and refinance existing domestic and external debts. He added that the funds would also help the Federal Government meet urgent financial obligations.
President Tinubu also mentioned that Nigeria’s total public debt stood at $110.3 billion, equivalent to about N159.2 trillion, as of December 31, 2025, noting that the phased drawdown of the loan would help ease pressure on debt servicing.
In a second letter, the president requested approval for the issuance of naira-denominated federal government securities as collateral for the facility, as well as the payment of margin obligations in U.S. dollars.
He also sought approval for a $1 billion export finance facility from the United Kingdom, arranged by Citibank, to fund the reconstruction and rehabilitation of the Lagos Port Complex and Tin Can Island Port.
