Palliative: Nigerian govt approves N5bn for states, LG’s

The Federal Government has approved the disbursement of N5 billion to states, local government councils and the FCT to cushion the effects of the subsidy removal on petrol.

According to the Governor of Borno State, Babagana Zulum when he spoke at the end of the National Economic Council, NEC, meeting on Thursday in Abuja. Said, “Council has noted the package that was announced by the president to cushion the effect of subsidy removal, amounting to about N500 Billion.”

He noted that the fund was for the purchase of 100,000 bags of rice, 40,000 bags of maize as well as fertilisers. Said, “This fund has to be distributed to the following sectors MSMEs, industrial sector, about N125 Million, will go to cash transfers, agricultural sector as well as gas expansion for buses.” 

He said that the funds were based on 52 per cent grants and 48 per cent as loans to be repaid to the Central Bank of Nigeria, CBN, within 20 months by the states and local councils.

He said that the council commenced President Bola Tinubu and the CBN for the various efforts aimed at reducing the impact of the removal of the subsidy on the citizens.

“Because of the increasing cost of fossil fuel, the federal government intends to establish more gas stations in Nigeria, procure more gas-powered buses, CNG buses, as well as electric buses to cushion the effect of the subsidy removal.” 

Zulum said the States have also been directed to negotiate with the labour unions’ leadership on the palliatives, adding that a committee of governors had been set up for this 

He affirmed that the federal government had sent food items to states bordering Niger Republic to mitigate the influx of refugees coming into the states.

The states, he said, were also given five trucks of rice each by the federal government last week for distribution to vulnerable Nigerians in their domain.

He said that the council recognised that these interventions were short-term solutions, adding that long-lasting solutions were being worked out.

Gov. Yahaya Bello of Kogi said that the NEC discussed the issue of the impact of the 2022 flood on states and what needed to be done to victims.

He said that the NEC urged the federal government to immediately dispatch relief materials to the flood victims in the states.

He said that the delay in the disbursement of relief was due to some states that had yet to respond to requests of providing data on the flood situation in their areas.

Governor Seyi Makinde also said that the NEC observed a minute silence for the officers and men of the armed forces killed in a helicopter crash in Niger State.

He said that the council also advised the government to take immediate actions and policies to stabilize the economy, lower the unemployment rate and improve investment flow to the country.

NAN