FG’s Safety Net For Indigent Nigerians

In a bid to prevent poor Nigerians from falling deeper into poverty, the Federal Government said two million people
would start receiving about N20 billion from June this year as basic cash transfers and conditional cash transfers under the National Cash Transfer Programme. Accordingly, each of the two million people will be paid N5,000 under the basic cash transfer and an additional N5,000 under the conditional cash transfer.
A document on the strategic roadmap and activities of the Federal Ministry of Humanitarian Affairs, Disaster Management and Social Development, showed that the number of people receiving cash transfers from the government had been increasing. In 2018, a total of 19 states were covered under the National Cash Transfer Programme. This increased to 24 states in 2019 and moved up to 36 states and the Federal Capital Territory (FCT) in 2022, covering 1.6 million people.
However, the Minister of Humanitarian Affairs, Disaster Management and Social Development, Sadiya Farouq, stated in the document that the number would increase further in June this year. Under the cash transfer scheme, the Federal Government supports poor and vulnerable households with cash monthly.
“By June 2022, we would be paying two million people N5,000 basic cash transfer and an additional N5,000 on conditional cash transfers, which is conditioned on good health-seeking/behaviour, school retention, and good water and hygiene conditions in their environment/homes.
“To date, of this one million targeted by the government, we have been able to pay the sum of N5000 to 850,000 beneficiaries digitally through the Nigeria Inter-bank Settlement System, where each account is carefully validated by the system before payment. One hundred and fifty thousand (150,000) will be paid by the end of April 2022. Each of these beneficiaries is receiving six months of support in cash,” Farouq stated.
The report further indicated that 9.8 million pupils were being fed daily under the National Home-Grown School Feeding Programme, while 127,000 cooks had been engaged and 98 aggregators were supplying various protein products. The controversial school feeding plan of action is one of the four clusters of the National Social Investment Programme (NSIP) which seeks to provide one free daily meal to pupils on the procedure.
The components of the administration’s Social Investment Programmes include the N-Power Programme, the National Home-Grown School Feeding Programme (NHGSFP), the Conditional Cash Transfer (CCT) Programme and the Government Enterprise and Empowerment Programme (GEEP), which consists of the MarketMoni, FarmerMoni and TraderMoni schemes.
In a volatile world, there is strong evidence that social safety net programmes can help to build the resilience of poor families and reduce their poverty, making them a vital instrument for the rapid development of countries. But in Nigeria that is not the case. Corruption scandals, poor design, planning and implementation, politicisation, poor procurement and due process dog the plan.
Proponents of NSIP claim that since it started in 2016, over N650 billion has been disbursed, and the NSIPs have impacted over 42 million Nigerians – that is, over 12 million direct beneficiaries and about 30 million indirect beneficiaries, comprising family members, employees of beneficiaries, cooks, and farmers. These claims, however, are not verified. Even the President’s wife, Aisha Buhari, had criticised the scheme, saying there was little evidence to show that its budget was judiciously utilised.
The NSIP urgently needs reform to make it more effective because the poorest of the poor are not being sufficiently captured by the programme. Investigations should be conducted to identify the beneficiaries and the procedure adopted in selecting them. The National Assembly should be involved in the scheme. Already, several billions have been expended since its inception. That calls for serious concern. The lawmakers have to ensure that the right and interests of these poor Nigerians are protected squarely.
Indeed, in Rivers State, we are yet to identify any beneficiary of any of the Federal Government’s safety net programmes.
If Nigeria can freely disburse N20 billion to poor citizens, why does the country continually embark on a borrowing spree? Rather than share a grossly inadequate N10,000 to each disadvantaged Nigerian, such funds should be invested in tangible projects that would improve access of those living in poverty to essential public services such as water, education, health, and industries, among others.
We cannot continue to promote or inject the nation’s capital into a programme without a review of its success. We must begin to innovatively devise more effective and sustainable support to revitalise our critical sector for Nigeria to achieve appreciable development. While we are not against the payment of social benefits to the poorest of Nigerians, such money must be creatively injected into the economy.
No doubt, Nigerians deserve social safety nets, but the time is not ripe for it until the corruption question is addressed. There are credible complaints about some persons or vested interests, sabotaging or rendering the programmes ineffective. It is proper to review and correct these concerns to ensure accountability. The Economic and Financial Crimes Commission (EFCC) should probe massive fraud and other corrupt practices plaguing the scheme.
Nigeria must begin to devise an effective, creative and sustainable mechanism for social investment to achieve meaningful socio-economic progress in the country. We have a dilapidated critical sector that requires serious attention to pilot our economy, but it is less prioritised. The existing SIPs may not be the only options. The failure to have strong monitoring and evaluation by non-state actors is not helping the situation.
Therefore, there is a need to have more credible civil society organisations and media for independent monitoring and evaluation including responsible legislative oversight to help the government discover the true reflection on this programme and how best to address challenges. These considerations are crucial to create social safety schemes that reach their full potential to reduce poverty, build resilience, and boost opportunities among the poorest people.