$5 Billion Loan: Tinubu seeks National Assembly approval to increase 2026 budget

President Bola Tinubu has requested that Nigeria's National Assembly approve a significant increase of ₦9 trillion for the 2026 Appropriation Bill, boosting the proposed budget from ₦58.4 trillion to ₦67.4 trillion.

This request was communicated via a letter read out in the Senate on Tuesday by Senate President Godswill Akpabio during a regular session.

Tinubu clarified that this proposed adjustment aims to promote greater fiscal transparency and to provide better support for the effective implementation of key national initiatives.

The letter reads, “The proposed adjustment is aimed at strengthening fiscal transparency and ensuring the effective implementation of priority national programmes.”

The President explained that the request stems from three main factors. One is the need to finalize and settle legal commitments left over from past budgets, ensuring these won't hold up the 2026 budget from being put into action. 

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He also pointed out that reviewing the finances will help the government accurately account for the country's current debt within its budget rules. 

Additionally, Tinubu mentioned that the adjustment would set aside funds for a select number of key priority projects. It would also shape the 2026 financing strategy in a way that keeps the country's overall economic health stable and lessens strain on the local financial markets. 

Back in December, Tinubu presented a budget proposal of ₦58.18 trillion for the 2026 fiscal year to the National Assembly, setting aside ₦5.41 trillion for defence and security—around 9.3 per cent of the total spending plan.

Presenting the spending proposal, titled “Budget of Consolidation, Renewed Resilience and Shared Prosperity,” he emphasised that economic growth and investment depend heavily on national security.

Tinubu mentioned that the budget framework is based on what he considers to be realistic, sensible, and focused on growth.

Some of the main points in the budget plan include an expected income of ₦34.33 trillion, a total spending of ₦58.18 trillion, ₦15.25 trillion allocated for regular (non-debt) expenses, and ₦26.08 trillion for major projects.

The proposal also outlines a deficit of ₦23.85 trillion, which is 4.28 per cent of the country’s Gross Domestic Product. The President stated that this aligns with the government’s financial strategy.

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He said the administration remains dedicated to sticking to financial rules, being open about how debts are managed, and making sure public money is spent effectively.

Tinubu also noted that the 2026–2028 Medium-Term Expenditure Framework and Fiscal Strategy Paper, which guides the budget, is based on key assumptions. These include a benchmark crude oil price of $64.85 per barrel, a projected oil production of 1.84 million barrels per day, and an exchange rate of ₦1,400 to one US dollar for the 2026 fiscal year.