Tinubu Defends $21.7bn Fresh Borrowing Plan, Says Funds For Coastal Highway, Power Grid, Ports
By Mega Awareness Newsroom
ABUJA — President Bola Ahmed Tinubu has broken his silence on the Federal Government’s proposed $21.7 billion external borrowing, insisting the loans are necessary to build a $1 trillion economy by 2030.
In an essay titled “From Reforms to Delivery: Our Infrastructure Investment and Growth Strategy,” released on Thursday, October 30, 2026, the President said the debate should not be about how much Nigeria borrows, but what it builds with borrowed funds.
Mega Awareness gathered that President Tinubu defended the borrowing request of $20.5 billion and €1.45 billion currently before the National Assembly, listing key projects to be funded.
According to the President, the funds will be channelled to major infrastructure including:
- Lagos-Calabar Coastal Highway
- Sokoto-Badagry Superhighway
- Trans-Sahara Superhighway
- Modernization of Lagos ports
- Upgrade of electricity transmission grid
Tinubu disclosed that the Lagos-Calabar Coastal Highway alone is projected to reduce logistics costs by 15-20 percent, add up to 2 percent to GDP, and create over 100,000 direct and 150,000 indirect jobs.
The President’s defence comes amid criticism from Nigeria Labour Congress, NLC, and some economists who questioned why the government is borrowing heavily despite increased revenue after fuel subsidy removal.
Tinubu cited strong economic indicators to justify his position:
- Real GDP growth rose to 4.43% in Q2 2026, up from 2.74% in May 2023
- Headline inflation dropped to 14.63% in September 2026, from 20.98% in May 2023
- Gross external reserves hit $55.1 billion as of October 9, 2026, with about $46 billion net reserves, up from less than $1 billion net in 2023
- Tax-to-GDP ratio improved to 12.5% from 7%
In related development, Mega Awareness reports that the Federal Executive Council on Wednesday approved N631.3 billion for nine road projects nationwide, while the Federal Government has paid N1.23 trillion out of N3.3 trillion owed to gas suppliers and power sector stakeholders.
Also, the Agence Française de Développement (AFD) and Bank of Industry (BOI) signed a $30 million facility on October 27 to finance Nigeria’s creative industries including film, music, fashion and gaming, with 90% earmarked for MSMEs.
Economic analysts told Mega Awareness that Nigerians will judge the borrowing not by promises, but by visible delivery on roads, power and jobs.
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