President Bola Tinubu has asked the House of Representatives to approve the issuance of promissory notes worth N269.45bn to settle verified debts owed by the Federal Government to contractors and other creditors.
The request, contained in a letter dated August 18, 2026, was read by the Speaker, Tajudeen Abbas, during plenary on Tuesday.
The proposed programme covers outstanding contractual, project-related and other verified financial obligations totalling N269,446,402,822.56.
The government said the arrangement would provide a structured way to settle the liabilities without placing an immediate and excessive burden on its cash flow.
In the letter signed by the Secretary to the Government of the Federation, George Akume, Tinubu sought approval for the establishment and expansion of the Federal Government’s Promissory Note Programme to cover the outstanding obligations.
Akume said the claims followed a review by relevant ministries, departments and agencies, adding that only liabilities that had been verified and validated would qualify for settlement.
He said the programme was intended to provide a transparent and fiscally responsible framework for meeting the government’s commitments, in line with applicable laws and public debt management procedures.
According to the letter, the arrangement could also limit further accumulation of interest, penalties and other costs arising from delayed payments, while providing relief to affected creditors.
The government said it had previously used the promissory note programme to settle inherited domestic debts and contractual obligations, with the earlier arrangement receiving approval from the Federal Executive Council and the National Assembly.
Under the latest proposal, lawmakers are being asked to approve promissory notes of up to N269.45bn, or another amount they consider appropriate, to settle the liabilities listed in supporting documents submitted to the National Assembly.
Tinubu is also seeking authorisation for the Minister of Finance and Coordinating Minister of the Economy to work with the Debt Management Office and other relevant agencies to implement the programme.
The proposed approval would cover identified categories of liabilities and beneficiaries, subject to final verification, reconciliation and certification by the appropriate government agencies.
Akume said the notes would allow the government to spread repayment obligations over an appropriate period, supporting fiscal planning rather than requiring immediate cash payments.
He urged the National Assembly to consider the request urgently, citing the age and size of some liabilities and the possibility of further costs if settlement was delayed.
A promissory note is a written commitment to pay a specified amount at an agreed time or on demand. Governments can use the instrument to formalise outstanding obligations and schedule repayments instead of settling the entire amount immediately in cash.
The request now awaits legislative scrutiny before the proposed notes can be issued.
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