President Muhammadu Buhari has written to the National Assembly for the approval of a fresh 2.343 trillion naira external loan.

This is contained in a letter addressed to the Senate President, Ahmad Lawan, and read at plenary on Tuesday.

The president who said the proposed loan which is equivalent to N2.3trillion is to finance the 2021 budget deficit of N5.6 trillion, added that it would enable the Federal Government fund critical infrastructural projects in transportation, health, and education among others.

President Buhari further stated in the letter that the 2021 budget provides for 4.686 trillion as new borrowing to part-finance the 2021 fiscal deficit of which 50 percent is specified as new external borrowing.

The loan is to be sourced from a combination of sources namely multilateral and bilateral lenders, the international capital market through the issuance of Eurobonds.

Also the Speaker of the House of Representatives, Femi Gbajabiamila, read the same letter from President Buhari to the lawmakers.

It is worthwhile to note that the President's request comes barely a month after the Senate approved the sum of $1.5bn and €995 million external borrowings for the Federal Government.