Despite public outcry over mounting debt in the country, the Senate has approved the request by President Muhammadu Buhari to raise $2.78 billion from the International Capital Market to fund the 2018 budget.
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In a letter read by the Senator Bukola Saraki dated October 9, 2018, the loan is meant to serve as part-funding of the 2018 budget and is to be sourced from Eurobonds and other securities.
Also entreated is an external capital sourcing of $82.54 million to refinance the balance of $500 million matured Eurobonds in the international capital market.
The two requests were approved by the Red Chamber when the report was presented by the Chairman Senate Committee on Local and Foreign Debts, Shehu Sani, on Wednesday.
The approval was on the condition that the federal government reduces its request for external borrowings and focus on generating internal revenue.
It was also resolved that the Senate committee should carry out oversight functions on previous loans that have been granted by the chamber to ensure its effective implementation as requested.