President Muhammadu Buhari has written to the House of Representatives requesting approval to borrow a sum of $5.513 billion from external sources to finance the revised 2020 appropriation and support state government to fulfil their financial obligation amidst COVID-19.
In a letter to the House of Representatives, the President the FG intends to borrow the amount from the International Monetary Fund, the World Bank, African Development Bank, Islamic Development Bank, Export, Import Bank of Brazil and the African Export, Import Bank.
The letter states that $3.4 billion of the money will be borrowed from the International Monetary Fund, $1.5 billion from the Works Bank, $500 million dollars from the African Development Bank, and the Islamic Development Bank is to provide $113 million.
The loan request has since been referred to the House Committee on loans and Debt for consideration.
The federal government have been roundly criticized in the past for borrowing to finance its budget in the past with experts warning that such could spell doom for the country in future.