Following the report of Senate Committee on local and foreign debts which was presented by its Chairman, Shehu Sani, Senate on Tuesday approved USD5.5 billion bond for the Federal government.
The Senate approved after considering the report from its Committee on Local and Foreign debts..
Buhari had made the request in a letter dated October 4, 2017.
"The $3 billion for refinancing of the nation's domestic debts will not lead to an increase in the public debt portfolio".
The $3 billion refinancing loans, it said, will create a significant decrease in the cost of financing the nation's debt stock while creating more borrowing space in the domestic market for the private sector to benefit from.
He further maintained that terms and conditions attached to those bonds were favourable to the integrity of the current administration, particularly as it affect the critical infrastructure, the bond was meant to finance. "
"The projects include the Mambilla hydro-power project, construction of the second runway of the Nnamdi Azikwe International Airport, counterpart funding of rail projects and construction of Bonny road with a bridge across Opobo channel."". He was however countered by Senator Gbenga Ashafa who argued that the loans were necessary to facilitate development across the country.
Senate leader Ahmed Lawan said the loan will make a huge difference in the economy, if properly utilised.
Presiding Deputy Senate President Ike Ekweremadu after the passage said the upper chamber will continue to support all efforts by the executive to boost the economy as long as such fiscal instruments are for the betterment of the Nigerian people.