Despite the World Bank’s confirmation that part of Nigeria’s $800 million gasoline subsidy reduction palliatives loan has been disbursed, President Bola Ahmed Tinubu’s administration has yet to begin paying N75,000 to needy Nigerians.

According to a World Bank document, the National Social Safety Net Program-Scale Up has received $299.99 million from the development bank, or 37.5% of the loan, from the federal government.

The World Bank verified that Nigeria has not yet received $442.88 million in funding.

 

Recall that to cushion the economic impact of fuel subsidy removal since June 2023, the government unveiled a $800 million Social Safety Net Programme, a conditional cash transfer scheduled to be implemented by the Federal Ministry of Humanitarian Affairs & Poverty Alleviation.

With this loan, the Federal Government plans to run a monthly cash transfer programme for poor and vulnerable Nigerians, who have been hit hard by recent policies, such as the fuel subsidy removal.

In October 2023, President Bola Tinubu formally launched a conditional cash transfer scheme targeted at 15 million households nationwide billed to receive N75,000 within three months, which is October to December 2023 (totalling N1.13 trillion for the period)

The Minister of Humanitarian Affairs and Poverty Alleviation, Dr Betta Edu, said 61 million Nigerians stand to benefit from the scheme every month in October, November and December.

She said, “So in total, 15 million households will receive 75,000 Naira over three months. This equates to about 61 million Nigerians benefiting from the conditional cash transfer.”

Justifying the palliative, World Bank Country Representative, Shubham Chaudhuri, confirmed that cash transfers are widely applicable to reducing poverty.

 

This aid is crucial in helping them overcome the initial period during which they might otherwise be compelled to make decisions with long-term consequences”, he stated.

However, the programme is yet to commence despite Nigerians battling inflation, which stood at 27.33 per cent in October.