President Bola Tinubu has written to the House of Representatives, requesting legislative approval for a new external borrowing plan amounting to over $21.5 billion and a domestic bond issuance of ₦757.9 billion to settle outstanding pension liabilities. The borrowing plan spans key sectors, including infrastructure, agriculture, health, education, and security, with the aim of generating employment, promoting skill acquisition, and reducing poverty.
Tinubu emphasized that the proposed funds would be channeled into critical infrastructure projects, such as railways and healthcare, and nationwide development programs across all 36 states and the Federal Capital Territory. He assured lawmakers that the initiative aims to improve the livelihoods of Nigerians and enhance food security.
The President also sought approval for the issuance of Federal Government bonds in the domestic market to settle accrued pension liabilities under the Contributory Pension Scheme, amounting to ₦757,983,246,572. He cited the Pension Reform Act 2014 and noted that the government had been unable to comply with some statutory pension obligations due to revenue challenges, leading to a buildup of arrears and hardship for retirees.
Tinubu emphasized that settling the pension arrears will improve retirees’ welfare, boost confidence in the pension system, and inject liquidity into the economy. He concluded by appealing to lawmakers for timely approval, assuring them of his administration’s commitment to transparency and accountability. The request has been referred to the House Committee on National Planning and Economic Development and the Committee on Pensions for further legislative action.
