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Hardship: AfDB Plans $2.7bn Budget, Agric Loans For Nigeria …Approves $134m Fund For Emergency Food Production

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The African Development Bank (AfDB) Board of Directors has approved $134million for Nigeria to implement an emergency food production plan, AfDB President Akinwumi Adesina has said.
According to him, talks are also ongoing for a $1.7billion economic and budget support loan as well as the launch of a $1bn agro-industrial processes in 28 states in Nigeria.
Adesina made the disclosures during an interview with journalists in Lagos on Monday.
The development came amid a biting food shortage that has led to hunger protests in Nigerian states and most recently attacks on grain warehouses in Abuja, Ogun, Niger and Kaduna states.
Last year’s fuel subsidy removal and exchange rate unification policy of the government have led to severe hardships with inflation now nearing 30 per cent amid a sharp depreciation of the naira.
Weak consumer purchasing power has affected businesses with the nation recording weak Gross Domestic Growth during the last quarter of the last year.
However, Adesina told journalists in Lagos that AfDB had pledged to support Nigeria through this period, disclosing that a number of agric initiatives should yield about five million metric tons of wheat, rice, cassava, maize this year for the country.
He exuded confidence that the development bank would work with Nigerian government to proffer solutions to the problems confronting Africa’s biggest economy.
He said, “I’m not used to complaining; I’m used to finding solutions. I did tell the President when I can last year that we would strongly support the Nigerian government in finding a solution to the challenges. As I speak to you today, we have approved $134m for Nigeria to implement an emergency food production plan. And that is not something that we are planning to do; it is what we are already doing.
“We have supported the cultivation of 118,000 hectares of wheat in Nigeria already this season. We will do 150, 000 hectares of maize production this march. By the rainy season, in May and June, we will support Nigeria to do 300,000 hectares of rice. We will also do 300,000 hectares of maize, 150,000 hectares of cassava and 50,000 hectares of soybean. So, that means that by the end of March, Nigeria would get out an additional one million metric tons of wheat; and by November, we will have an additional four million metric tons of rice, cassava, maize and soybeans.”
The AfDB chief, however, advised Nigeria to push for more food supply, pointing out that food inflation is a major component of the nation’s inflation figure.
Tackling inflation requires looking at some of the structural drivers, according to him.
“A big part of that (Nigeria’s) inflation is food price inflation. If you look at the Consumer Price Index, probably 65 per cent of it If not even 75 per cent of it now, is actually the price of food. And so, you don’t necessarily deal with food price inflation through your standard macroeconomic policy of tightening monetary supply. You deal with it by producing the food because that’s the thing that needs to be done. So I think it’s very important to be able to deal with that,” he said.
Adesina emphasised the need to enhance food production in the country.
On how the country could boost food production as quickly as possible, Adesina said, “But one thing that I would say is that the government needs to go back to the policy of electronic wallet system. Remember when I was minister, we did design a programme to get seeds and fertilizers to farmers directly via their mobile phones by electronic vouchers. We were able to reach 15 million farmers in four years; the whole place was booming with food. And I think that is what I will advise needs to be done and done very quickly. Because access to high performing yields, high performing seeds and fertilizers and farm inputs is very critical; otherwise you will not be able to do it.”
Nonetheless, the AfDB boss also pointed out the need for Nigeria to get low-interest concessionary financing to overcome its economic challenges.
He said issues around the exchange rate must be dealt with as an import dependent nation.
According to him, the AfDB is planning about $1.7bn economic and budget support loan for the country.
He said, “There needs to be a lot of support around Nigeria, given the tight fiscal space and the lack of forex, to make available a lot more concessional financing to the Nigerian economy. And that’s what we’re doing at African Development Bank. This year we expect to approve with our board because we always go to our board of directors for approval, but our plan is to be able to do $1.67bn of financing to Nigeria in different sectors, including considering a potential policy base operation of budget support to Nigeria. We are discussing with the Minister of Finance; that is part of a $1bn budget support operation that will go into two tranches. Again, I will say it has to be approved by the board, but these are all the things that we are hoping to be able to do.”
He spoke about other agric projects in the country.
Also, the AfDB is planning to launch this year a programme for a $1bn special agro-industrial processes are in 28 states, adding that “It this structural interventions that I will say would make agriculture more productive, efficient, and competitive.
“So those are the things that we are doing in Nigeria. In addition to that, we have a programme that we’ve already implemented, called Special Agro Industrial Processing zones. So these are new economic zones we are supporting Nigeria to develop. We provided $520m for that, ourselves, the African Development Bank, the Islamic Development Bank, and the International Fund for Agricultural, currently working now in eight states. We expect that those things will start hitting the ground and start construction by June of this year,” he added.

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Fubara Gives Scholarship To 100 Children, Widows Of Fallen Heroes

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Rivers State Governor, Siminalayi Fubara, has given scholarship grant to 100 children and widows of fallen heroes of the Nigerian Legion, Rivers State command.
Presenting cheques to the beneficiaries, Fubara, represented by the Secretary to the State Government, Dr. Tammy Danagogo, advised the students to take their studies seriously.
“Make good use of this opportunity, by dint of hard work. Anyone can be great in any field of choice. I want you to know that the future is bright but it is in your hands.
“Tomorrow, you can be the leader that Nigeria needs at both national and state levels, but you must work hard now. Make good use of this opportunity by being focused on your studies,” he admonished the beneficiaries.
The governor further commended the leadership of the Legion in the State for sustaining the scholarship scheme for the widows and children of fallen heroes.
“The best gift you can give to anyone is education. By educating them, you are empowering them to become good leaders of our society. They are the future of our country, continue the good works,” he stated.
The ceremony was also attended by the National Leader of the Nigerian Legion, Maj. Gen. A.M, Jubril (Rtd), the Commissioner of Education, Dr. Ivy Chiemedum, representatives of Service Chiefs, members of the Nigerian Legion in Rivers State and widows of fallen heroes.

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FG Panics As #EndBadGovernance Protest Begins, Aug 1 …Yoruba Youths, Ezekwesili Call For Caution

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There is palpable fear within the government circle as the plan to organise a nationwide protest against economic hardships have gained significant traction on social media.
President Bola Tinubu met with some traditional rulers in the country and governors from the All Progressives Congress (APC) under the aegis of the Progressives Governors Forum at the Presidential Villa, Abuja, yesterday.
The President’s meeting with the APC governors began at minutes past 1pm, while the meeting with the traditional rulers began at about 2:30 pm when the President arrived at the Council Chamber.
Although the agenda of the two meetings was not disclosed, sources revealed that it may not be unconnected to the planned protests scheduled for August 1-10.
The planned protests, organised under the hashtag ‘EndBadGovernance,’ have gained significant traction on social media even as the organisers remain largely anonymous, with no group officially claiming responsibility.
This meeting follows an earlier conclave of the Nigeria Governors’ Forum on Wednesday night and comes after a last-minute cancellation of the National Economic Council (NEC) meeting earlier scheduled for yesterday.
Leading the delegation of royal fathers are the Sultan of Sokoto, Muhammad Sa’ad Abubakar III, and the Ooni of Ife, Oba Adeyeye Enitan Ogunwusi, while the APC governors delegation was led by its chairman and Governor of Imo State, Hope Uzodimma.
Present at the meeting are Vice President Kashim Shettima, Secretary to the Government of the Federation, George Akume; the National Security Adviser, Nuhu Ribadu, and the Inspector-General of Police, Kayode Egbetokun, and Governor Abdulrazaq Abdulrahman of Kwara State who is the Chairman of the Nigeria Governors Forum, and Hope Uzodinma of Imo State, who chairs the Progressives Governors Forum.
The Minister of Finance and Coordinating Minister of the Economy, Wale Edun, and the Minister of Budget and Economic Planning, Atiku Bagudu, also joined President Tinubu at the meeting.
Both the APC governors and traditional rulers did not brief the press after the two separate meetings.
However, the Coalition of Yoruba Youth leaders have called on organisers of the planned nationwide protest to shelve the idea and remain calm.
President-General of the coalition, Dr Tolani Hassan, said in a statement in Lagos, yesterday, that the apex umbrella body for all Yoruba youth associations and organisations had dissociated itself from the protest.
Hassan, who is also the National President, Yoruba Youths Association Worldwide , however, said that the coalition recognised the plight of Nigerians.
“The economy is unfriendly, the cost of living is outrageous and out of the reach of the common man.
“It is also true that the inflation rate is in the double digit and the unemployment rate in Nigeria is alarming.
“So many graduates are out there with no means of survival. The Federal Government has not employed people in the last couple of years.
“However, the leadership of Yoruba youth leaders do not want a repeat of the ENDSARS saga, hence, our call for protest cancellation and calm,” he said.
The president-general urged the organisers to rather employ other measures to make the government across levels understand the economic hardship in the land.
“There should be a more refined manner of getting our leaders to hear our plights other than protest.
“There are agitations and insecurity in every part of the country, any attempt to have a protest now may cause mayhem, which is not the solution to our pressing challenges.
“The apex body of the entire youths in Yoruba land expressly dissociates itself from the planned protest.
“We will defend the entire South-West against any form of destruction by disgruntled elements, who may want to cause havoc in the region, particularly, Lagos state,” Hassan said.
Similarly, Hassan emphasized the need to embrace unity, pointing out that dialogue is the best way while consultation is a better approach.
He, however, pleaded with President Bola Tinubu to listen to the youth -”his children”, who were agitated.
“We love you Sir, Mr President, but we are hungry and unemployed,” the president-general said.
The youth leader advised Tinubu to directly interface with all the youth leaders in the various geo-political zones, saying the use of intermediaries would not bring results.
He called for a National Youth Summit, where all the various youth leaders would discuss with Mr President and address all the prevailing issues.
Stressing the coalition’s continued support for the President, Hassan urged the Federal Government to review both the monetary and fiscal policies, in the interest of the Nigerian masses.
He called for concerted effort by both the public and organised private sector to engage in massive employment generation and reduction of job losses.
“The economy should be friendly to both local and foreign investors. The power sector should be completely overhauled. This is the hub of the economy,” Hassan said.
He called for the review of educational curriculum from primary to tertiary level and inculcation of practical skills, including agriculture, to make Nigerian youths self-reliant.
The youth leader, who appreciated the inclusion of youths in the Federal cabinet, demanded for more, and urged the Federal Government to regularly engage the youth leadership of the various geo-political zones.
“35 per cent slots should be given to youths in the federal cabinet and federal boards appointment,” he said.
Meanwhile, a former Minister of Education, Oby Ezekwesili, has urged the federal and state governments to handle the planned protests with civility and empathy.
In a statement titled “My Position on the Nationwide Protest of our Young Citizens,” and posted on X, yesterday, Ezekwesili highlighted the distress being experienced by many Nigerians, particularly the youth, due to severe economic hardships.
“All reasonable people know that the majority of our citizens—especially the young ones-are distressed on many counts, from biting economic hardship that is prevalent in the country today. They blame it on bad governance and are therefore demanding an end to it,” she stated.
She criticised the reactions of politicians, public officials, and their allies, which she described as undemocratic and lacking empathy.
She pointed out that news of the planned protests has already caused agitation among government officials.
“I hope the Federal Government and its allies can quickly and wisely cease from threatening those among our citizens who wish to exercise their constitutional right of expression, association, and movement through a nationwide protest,” she urged.
The Bring Back Our Girls Convener called on President Bola Tinubu, the National Assembly, and state governors to seize the opportunity presented by the protests to engage with the dissatisfied youths.
She emphasized the importance of protecting and supporting the protesters to ensure peaceful demonstrations.
“Ensure that the protesters are protected and supported by the police and related agencies like the Civil Defence Corps to protest peacefully and orderly in presenting their demands and agitations to the authorities.
“Be guided by the terrible lessons of the mishandling of the #EndSARS protests,” she advised.
Ezekwesili also recommended that the government respond to the protesters with a clear plan to achieve good governance on the issues being raised.
She stressed the need for politicians and public officials to listen and learn from their citizens.
“I hope that our politicians and public officials will heed counsel and allow themselves the humility of listening and learning from their citizens at a time like this,” she added.

Boye Salau

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ECA Advises African Countries On Rising Indebtedness

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The Economic Commission for Africa (ECA) has called on countries to explore reforms on the common debt relief framework to better address rising indebtedness in Africa.
The Executive Secretary, ECA, Mr Claver Gatete, in a statement presented this at a joint press briefing on the margins of the recently concluded 2024 High Level Political Forum (HLPF).
Gatete highlighted the challenges of accessing financing for the continent’s priorities, especially the concessional funds that are long term and cheaper.
He said the reform of global financing system was urgent, as it could mitigate access to critical resources needed for the implementation of the Sustainable Development Goals (SDGs).
The Tide’s source reports that the African Development Bank (AfDB) said that from 2010 to 2023, Africa’s debt increased by 192 per cent.
The AfDB data also showed that African countries paid 163 billion dollars annually with an external debt stock of 1.1 trillion dollars, the highest ever seen,
According to Gatete, this means that by paying the debt, countries would have very little room to implement the SDGs and the next 10-year programme of the African Union (AU).
Gatete highlighted the need for domestic resource mobilisation in Africa to tackle illicit financial flows and improve taxation.
He also emphasised the importance of developing capital markets to provide long-term resources as part of private sector engagement in Africa.
He said: “There are opportunities in restructured green, blue and sustainability linked bonds that can attract more investors to fund climate-related solutions.
“ECA is working with countries to strengthen domestic resource mobilisation through capital markets to improve self-financing and financial sustainability in Africa.”
He said it was crucial to increase fiscal space and address interrelated issues, including peace building and conflict prevention.
“Also the involvement of the youth in sustainable development processes to ensure long term progress, “ he said.
Ms Christina Duarte, Head of the United Nations Headquarters based Office of the Special Adviser on Africa (OSAA), SDG implementation said only 12 per cent of the 140 targets of the SDG have been delivered.
She said to understand the root causes of the financing challenges faced on the continent, the focus should be on sustainable financing and institutional strengthening in Africa to build resilience.
“So, long-term solutions such as tackling economic and financial flows to address Africa’s debt distress and deliver on the sustainable development goals is very critical,’’ she said.
The HLPF Africa Day aims at highlighting key issues stemming from the Africa Regional Forum on Sustainable Development (ARFSD) and other major consultations.
The joint briefing displays how the AU, the UN Office of OSAA and ECA work together to support African member states in implementing the SDGs and the AU’s Agenda 2063.
The HLPF pulls together member states from around the world to forge pathways to accelerate the implementation of the SDGs.

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