On Wednesday, October 29, 2025, Nigeria’s Parliament has approved President Bola Tinubu’s request to secure $2.85 billion in external loans from international debt markets, marking a significant milestone with the country’s first issuance of a sovereign sukuk.
The approval follows Tinubu’s earlier appeal to lawmakers to authorize the borrowing package, which includes a $500 million Islamic bond aimed at diversifying Nigeria’s debt instruments and attracting investors from the Middle East and Asia.
According to President Tinubu, the new borrowing will help bridge the nation’s budget deficit and refinance Eurobonds maturing in November 2025. The government plans to source the funds through a combination of Eurobond issuance, syndicated loans, bridge financing, or direct arrangements with international banks. The move reflects Nigeria’s continued efforts to stabilise its fiscal position amid rising debt obligations and currency pressures.