Tinubu requests Senate approval of $800m loan

During the plenary session on Thursday, July 13, President Bola Ahmed Tinubu made an appeal to the Senate, urging them to grant approval for a borrowing request of $800 million from the World Bank. It is worth noting that former President Muhammadu Buhari had previously submitted the same request to the 9th Senate in May, towards the end of his administration. However, due to time constraints, the 9th Assembly was unable to address the request before its tenure concluded on June 11.

In a letter presented by Senate President Godswill Akpabio, President Tinubu emphasized the importance of approving the borrowing request. He conveyed that the loan would be utilized to enhance the National Social Safety Net Programme.

The letter reads in part;

“Please note that the federal executive council led by President Muhammadu Buhari approved an additional loan facility to the tune of $800 million to be secured from the World Bank for the National Social Safety Net programme. Copy of FEC’s extract attached.

You may also wish to note that the purpose of the facility is to expand coverage of shock responsive safety net support among the poor and vulnerable Nigerians. This will assist them in coping with basic needs.

You may further wish to note that under the conditional cash transfer window of the programme, the federal government of Nigeria will transfer the sum of N8,000 per month to 12 million poor and low income households for a period of six months, with a multiplier effect on about 60 million individuals.

In order to guarantee the credibility of the process, digital transfers will be made directly to beneficiaries’ accounts and mobile wallets.

It is expected that the programme, will stimulate economic activities in the informal sector, and improve nutrition, health, education, and human capital development of beneficiaries’ households.

Given the above, I wish to invite the Senate to kindly grant approval for the additional loan facility of $800 million to be secured from World Bank for the National Social Safety Net Programme.

While hoping that this submission will receive expeditious consideration by the Senate, please accept the assurances of my highest regards.”