The Senate has granted approval for President Bola Tinubu’s $500 million loan request intended to bolster the financial and technical capabilities of electricity distribution companies, aiming to improve services for citizens.

The approval on Tuesday was sequel to the consideration of the report of Senator Aliyu Wamakko (APC, Sokoto North) led Senate Committee on Local and Foreign Debts 2022 – 2024 External Borrowing (Rolling) Plan for the Bureau of Public Enterprises (BPE).

During the presentation, Senator Haruna Manu, the Vice Chairman of the Committee, emphasized the importance of considering the report, urging the Senate to deliberate on the External Borrowing Plan for the BPE.

The $500 million loan forms part of the $7.94 billion borrowing plan initially proposed by President Tinubu on November 1, 2023, under the 2022-2024 external borrowing plan. Alongside the $500 million, the President also sought approval for a €100 million loan.

However, the Senate, in a special plenary session on December 30, approved a total borrowing amount of $7.4 billion after reviewing the report presented by the Committee on local and foreign debt.