On Thursday  May 2, 2024 , an analyst on national radio programme lambasted some Nigerians who did not buy the idea of the consumer credit scheme that was recently approved by the Federal Executive Council and launched by President Bola Tinubu.
A statement from the presidential media office, had indicated that the scheme which will be run by the Nigerian Consumer Credit Corporation (CREDICORP), will offer credit facilities to working citizens in the country and will be implemented in stages, starting with public or civil servants and later extend to the general public.
The analyst did not see the reason why some people should kick against the initiative which in his view offers several advantages of Increased Purchasing Power including:  providing individuals with the ability to purchase goods and services even if they do not have the full amount required at the point of sale;  offering a convenient way to manage cash flow, allowing consumers to spread the cost of a purchase over a period that suits their financial situation; helping people acquire essential items—like refrigerator or car—that they might not be able to afford upfront, thereby improving their quality of life; providing a critical resource in emergency situations, allowing consumers to afford necessary services or repairs that they might not have the immediate funds to cover, among others.
Definitely, advantages of consumer credit schemes abound.
The scheme can greatly enhance purchasing power and provide financial flexibility but we must also admit that it is a double-edged sword and can lead to debt accumulation and financial hardship if not used wisely.
Consumer credit schemes can carry high interest rates and fees, particularly if the balance is not paid off during any interest-free period offered. This can significantly increase the overall cost of the purchased goods or services.
Easy access to credit can lead to overspending and the accumulation of debt, particularly if consumers use credit impulsively or fail to manage their repayments effectively. Missing payments or defaulting on a credit agreement can negatively impact a consumer’s credit score. Poor credit scores can restrict access to future credit and result in higher interest rates on loans.
Again, relying too heavily on credit for regular purchases can lead to financial dependency, reducing a consumer’s ability to save and prepare for future financial needs. It is also a known fact that some credit agreements come with complex terms that can be difficult to understand. This can lead to unexpected charges or conditions that a consumer may not be fully aware of, when entering into the credit agreement.
While this write-up is not aimed at an in-depth focus on the merits and demerits of consumer credit schemes, it is aimed at looking at the suitability of the scheme in present day Nigeria. The nation’s economy is in comatose. Poor electricity supply, high electricity tariff, high cost of petrol and diesel and other economic variables are forcing a lot of companies to pack up.
For some unclear reasons, there has been fuel scarcity in the nation’s capital, Abuja and other cities across the country for over two weeks. While NNPC claims it is due to logistic and vessel problems, the Independent Petroleum Marketers Association of Nigeria (IPMAN), through its Public Relation Officer, Chinedu Ukadike stated categorically that the current fuel scarcity is because “most of the refineries in Europe are undergoing turnaround maintenance.”
Nigeria catches fever whenever Europe and other continents that refine our crude oil cough because we have failed to make the nation’s refineries work. Deadline upon deadline had been given by the federal government on when Port Harcourt and other refineries in the country would commence operation, all to no avail.
One will want to believe that a government that loves its citizens would address the pressing economic challenges before embarking on a consumer credit scheme. Let power supply be made stable and affordable, the refineries be brought back to life to guarantee steady supply of petrol at an affordable price and the value of the nation’s currency be improved so that the salaries of civil servants and other workers will be more meaningful. It is not a question of a new “living wage” or “minimum wage”. It is rather a question of healing the economy and strengthening the Naira so that the workers’ salaries will be more valuable.
What is the essence of encouraging workers to partake in a consumer credit scheme when they are likely to miss payments or default on credit agreement due to numerous financial pressures on them? Is that not capable of increasing their financial stress and anxiety and thereby impact other areas of their lives?
In the past, many civil servants in the country augmented their salaries through agriculture. I remember my uncle, a civil servant working in Enugu, coming to the village almost every weekend to carry out some work on his farms in Uzo-Uwani Local Government Area of the State and when going back to Enugu on Sunday, he goes with jerry cans of palm oil and different kinds of food items from his farms. Today, due to the lingering insecurity in communities across the country, many civil servants hardly visit their villages not to talk of going to farms. So they depend solely on their salaries.
Of course, the launched consumer credit scheme is optional but necessary steps must be taken to improve the economy, security and the living standard of the citizens so that anyone who opts to obtain a loan through the scheme will not have a nightmare servicing the loan. CREDICORP and other relevant authorities also owe the citizens the duty of explaining the nitty gritty of the scheme to the citizens. Let the consumers know that what they are taking is a loan that must be paid within a specified duration with an interest – not a grant.
It is important that consumers, that is, federal and state civil servants and others included in the first phase of the scheme , are advised to carefully consider their financial situation and the terms of credit agreement before committing to the consumer credit scheme so as to minimise risks and enable consumers to maximise the benefits of the scheme.
It is hoped that the experience of previous federal government loans like the CBN’s Anchor Borrowers Programme, the Targeted Credit Facility (TCF), introduced by the CBN to support households and SMEs affected by the Covid-19 pandemic does not repeat itself. We saw some beneficiaries of the TCF protesting when commercial banks began the loan recovery, claiming that what they received was Covid-19 grants not loans and it should not be repaid. The would-be beneficiaries of the Consumer Credit Scheme must be properly educated. Adequate mechanisms must be put in place to ensure recovery of the loan from defaulters.
CREDICORP must also ensure that only the eligible citizens who have applied for the loan got it. It should not be a way of empowering some political party members or people that are highly connected.  According to the special adviser to the president on media and publicity, Ajure Ngalale, “The scheme will be rolled out in phases, starting with members of the civil service and cascading to members of the public.” The president believes every hardworking Nigerian should have access to social mobility, with consumer credit playing a pivotal role in achieving this vision.” Nigerians await the materialisation of this.

Calista Ezeaku

Food is one of the basic necessities of life that every living being needs to remain alive and contribute to societal productivity. However, a lot of problems and challenges have been hindering the full realisation of the potential attributed to the agricultural sector in Nigeria and other developing countries, thereby making food security unattainable. In a positive light, a quiet revolution is underway, powered not by traditional tools alone, but also by the digital innovations of the 21st century. At the heart of this transformation lies a strategic partnership between Nigeria’s National Information Technology Development Agency (NITDA) and the United States Agency for International Development (USAID), aimed at catalysing progress in digital agriculture and ensuring food security across the nation. This partnership represents a pivotal shift in agricultural practices, leveraging cutting-edge technologies to address age-old challenges and usher in a new era of sustainability and productivity. Nigeria, with its vast agricultural potential and growing population faces a pressing need to modernise its farming practices to meet the demands of the food market. The integration of digital technologies such as the Internet of Things (IoT), Artificial Intelligence (AI), and blockchain into agriculture holds the promise of unlocking unprecedented efficiencies and insights.
Through the collaborative efforts of NITDA and USAID, these technologies can be harnessed to empower farmers, improve crop yields, optimise resource utilisation, and enhance overall agricultural resilience. By leveraging the expertise and resources of NITDA and USAID, Nigeria is poised to tap into the transformative potential of digital solutions tailored specifically for the agricultural domain. These solutions are designed to empower farmers, increase efficiency along the value chain, promote inclusive growth, and foster resilience in the face of evolving environmental and economic challenges. One of the key pillars of this digital revolution in agriculture is the deployment of IoT solutions across farming landscapes. IoT-enabled sensors embedded in soil and crops will offer real-time data on moisture levels, nutrient content, and disease prevalence. This data, transmitted and analysed through interconnected systems, enables farmers to make informed decisions regarding irrigation schedules, fertiliser application, and disease management. The advent of IoT-enabled precision agriculture extends beyond basic monitoring to encompass predictive analytics and automated control systems. By analysing data on environmental factors, crop health indicators, pest infestations, and equipment performance, farmers can proactively address challenges and optimise interventions.
By precisely monitoring soil conditions, water usage, and nutrient levels, farmers can optimise inputs such as fertilisers and irrigation, reducing waste and environmental impact. This not only conserves resources but also contributes to cost savings and long-term soil health, crucial factors for sustainable farming practices. Moreover, the scalability of IoT solutions further enhances their impact across different scales of agricultural operations. From smallholder farms to large agribusiness enterprises, IoT technologies can be tailored to meet specific needs and challenges. Complementing IoT advancements is the transformative potential of AI in agriculture, a domain where data-driven insights can unlock significant value. AI algorithms analyse vast datasets collected from farms, weather stations, and satellite imagery to generate actionable recommendations for farmers. From predicting optimal planting times and identifying crop diseases early to optimising supply chain logistics and predicting market trends, AI empowers farmers with precision tools for decision-making, mitigating risks, and maximising returns on investments. At the core of AI-driven agriculture lies the ability to process vast amounts of data collected from diverse sources such as satellites, drones, IoT sensors, and farm machinery. These data streams encompass a range of variables including weather patterns, soil characteristics, crop health indicators, and pest infestations. By ingesting, processing, and analysing this data in real time, AI systems can generate valuable recommendations and alerts for farmers, enabling them to make informed decisions promptly.
Also, AI in agriculture can be predictive modeling, where algorithms forecast outcomes based on historical data and current environmental conditions. For example, AI models can predict optimal planting times, recommend crop varieties suited to specific soil types, and forecast yield expectations based on weather forecasts and agronomic factors. By integrating these predictions into farm management practices, farmers can optimise input use, minimise risks, and maximise productivity across their operations. AI-powered image recognition and analysis techniques can also play a crucial role in monitoring crop health and detecting pest or disease outbreaks early. By analysing aerial or ground-based imagery captured by drones or satellites, AI algorithms can identify subtle changes in plant foliage, detect anomalies indicative of pest infestations or nutrient deficiencies, and alert farmers to take targeted corrective actions. This proactive approach not only minimises yield losses but also reduces the reliance on chemical inputs, promoting sustainable farming practices. The integration of AI extends beyond on-farm operations to encompass supply chain optimisation and market intelligence. AI-driven logistics and inventory management systems can optimise storage conditions, transportation routes, and distribution networks for agricultural products, reducing waste and ensuring timely delivery to markets. Moreover, AI-powered market analysis tools provide farmers with insights into price trends, demand fluctuations, consumer preferences, and market opportunities, empowering them to make strategic marketing and pricing decisions.
The technology addresses the challenges of consumer’s lack of confidence, inefficiency and vulnerabilities such as counterfeiting and supply chain disruptions, by creating a tamper-proof and verifiable record of every transaction and process involved in the production, processing, and distribution of agricultural goods. By recording transactions, contracts, and product provenance on tamper-proof distributed ledgers, blockchain ensures authenticity and accountability from farm to fork. Farmers, consumers, retailers, and regulators can verify the quality, origin, and ethical standards of agricultural products, enhancing market access, reducing food fraud, and fostering fair trade practices. Farmers can also digitally register their produce at the point of harvest, capturing essential data points such as location, time, crop variety, farming practices, and quality parameters.
This data, once recorded on the blockchain, becomes immutable, ensuring that subsequent transactions and transformations along the supply chain are traceable to their origin.
This level of transparency instills trust among consumers who can access detailed information about the journey of their food from farm to table, including certifications, sustainability practices, and ethical standards. Moreover, blockchain facilitates seamless and secure transactions throughout the supply chain, delays, and costs associated with traditional paper-based processes and intermediaries. Smart contracts, programmable agreements executed automatically when predefined conditions are met, streamline payment processes, facilitate real-time settlements, and ensure fair compensation for farmers based on agreed-upon terms such as quality standards, delivery timelines, and pricing mechanisms. Also, it should be noted that the success of any agricultural innovation hinges not only on its technological prowess but also on its ability to scale impact and reach diverse stakeholders across the agricultural value chain. Scaling the impact of digital innovations in agriculture requires a multifaceted approach that addresses infrastructural challenges, fosters collaboration among stakeholders, promotes policy coherence, and ensures inclusive access to technology and knowledge.

Shuaib S. Agaka
Agaka, a tech journalist, writes in from Kano.

The Governor of Anambra State, Prof. Chukwuma Soludo, recently celebrated the anniversary of his two years in office. Prof. Soludo won the Anambra State 2021 guber elections with a remarkable landslide, in one of Nigeria’s most popular and freest elections. A professor of economics and former governor of the Central Bank of Nigeria, who spearheaded banking sector reforms and reconsolidation that became points of reference, Prof Soludo was heralded as the Messiah of Anambra State, especially as he promised to make the State the “Dubai and Japan of Africa.”
But mid-way into his administration, the euphoria about the Soludo magic has long dissipated. The disappointed well-wishers who gathered at the venue of his anniversary at Awka, may have come to get first-hand account of the happenings, and to reassess their stand. Usually such events are opportunities for office holders to recount their accomplishments. Governor Soludo, while narrating a litany of achievements said he runs an austere government in the State to the point of claiming not taking any salaries since assumption of office, and that even the first lady does not have any car allocation from the State.
What stands out however, is that the governor said he had insisted not to borrow, even though records show that the governor has sought and got approval from the State assembly to borrow N100 billion. So far, Soludo’s decision not to draw the loan is commendable, because records show that as at January 2023, the State’s debt deductions stood at N872,425,828.86 per month, which was 27.8 per cent of net statutory allocation, and 12.4 per cent of total allocation. Today, that burden is more than double due to naira devaluation.
Additional kudos goes to Soludo from Anambra’s 2024 budget summary documents, which show that the approved 2023 budget estimate of N260,394,690,434 yielded a revenue of only N155,647,114,526.22, of which the State spent only N76,905,169,399.35 to realise a whopping surplus of N78,741,945,126.87.
However, how austere is Soludo’s administration? And is austerity a measure of development? As sympathetic as the first family’s acclaimed self-denial may sound, the office of the first lady is not a constitutional creation, and therefore has no entitlements. The governor’s basic salary is N185,306.75, while his hardship and constituency allowances are N92,654.37 and N370,617.50, respectively, all of which sum to N648,578.62, a negligible amount compared to the governor’s monthly security vote of N850 million, amounting to over N10 billion per year, plus other perks of office.
Former Governor Obiano is currently facing charges of diverting N4 billion from security votes. Soludo should have told the public if he has cut down such humongous allowances.
Anambra State’s approved 2024 budget of N410,132,225,272.11 also shows that the governor’s office receives N11,199,200,089.19 comprising personnel bills of N4,668,243,574.08 and capital expenditure sum of N6,530,956,515.11, for the State’s Boundary Commission, Anambra State Public Procurement Agency, Anambra State Investment Promotion & Protection Agency,  Anambra State Action Commission on AIDS (ANSACA), Christian Pilgrims Board, Muslim Pilgrims Board, Anambra State Small Business Agency (ASBA), Greater Onitsha Development Agency and the Greater Nnewi Development Agency, whereas these agencies should belong to requisite ministries, while the office of the governor is saddled with developmental concerns.
On the social sector, Soludo’s administration allocates a paltry annual purse of N175,000 for the upkeep of each secondary school in the state, which translates to less than N60,000 per term, and may be the reason some principals got tempted to request fees from students.
The plight of 656 health centre in the state are more pitiable as most receive N140,000 per year, which is about N11,667 per month, may be to fuel generators and other expenditures. The Orumba General Hospital is allocated N105,000.
The  Anambra State should be more realistic in funds allocation to ensure that meager funds do not stifle essential institutions.
Anambra’s 21 local councils that draw a total monthly federal allocation of over N8 billion, continue to be ruled by illegal Transition Committee Chairmen appointed by the governor, thus denying the State of political tutelage at the council levels that groom vibrant politicians to the national level, while Anambra State Independent Electoral Commisson lies idle with allocation of N197,301,110.40.
As for roads construction, the governor may have done well, with the Ekwulobia on-going project standing most prominent, but what is on ground across the State lags far behind expectations. It took him two  years to deliver his flagship campaign promise at Okpoko in Onitsha, combined with a re-election fever, to deliver the Okpunoeze road at Nnewi, probably out of wariness of the Senator Ifeanyi Ubah factor. Governor Soludo almost turned the road commissioning at Nnewi into a campaign ground.
In a country where politicians envision themselves as construction project management officers, road works, however inappropriate, have become the be-all-of- the-average. But for a professor of economics, who had sat at the vintage position of a Central Bank governor, where the impacts of policies and big industries are clearly understood, there are far bigger development expectations for which Soludo’s coming sounded messianic.
While his tax administration reforms are commendable, the brigandage of the Ocha Brigade and ANJET, who enforce tax drives, are eliciting sorrowful tales from the masses, especially road transport drivers. Insecurity remains a terror in the State. Meanwhile, in less than nine months, Alex Otti of Abia State has initiated rapid ‘positive disruptions’ as Soludo likes to coin it, and capped it with Geometric Power’s 24-hour of electricity in Aba, a project worth $800 million. In Imo State, Seplat Energy and Nigeria Gas Infrastructure Company (NGIC) are rounding-up a $700 million ANOH Gas Processing Plant, while Shell/NNPC is completing a $3.5 billion Obiafu-Obrikom-Oben OB3 gas pipeline network, despite insecurity, to link the Escravos-Lagos pipeline system. The revenue that would accrue to Imo State when it comes onstream far outweighs what Anambra gets harassing struggling transporters. Moreso, Shell has just empowered youths from the host communities of Assa, Ochia, Awarra, Obile, Avu, Obissima, Obuomadike, Ununwaku, Ohoba, Obitti and Umuapu, who graduated from its one-year training. Road construction and contracts in Imo would be usual community development accompaniments.
While the rat-race for revenue drives continues in Anambra, the State sits on 50 billion barrels of crude oil reserve, and 10 trillion cubic feet of gas awaiting development, out of its seven gas acreages, only two are being minimally tapped. Vested interests bind State-owned Orient Petroleum Plc with inept partners, First Modular Gas Systems Ltd, in ways that may have repelled big Oil and Gas players like Seplat Energy whose major shareholder, Dr. ABC Orjiako, is from Anambra State, and Mr. Emeka Offor’s Chrome Group, whose Interstate Electric Company Ltd are stakeholders in Enugu Electricity Distribution Company (EEDC) and the Alaoji Power Plant. It is obvious, the State has the human resources to develop its potentials, but needs prudent leadership.
Anambra, home to the Innoson Car Assembly plant, industries and businesses that are suffocating under poor electricity, needs visionary managers that draw down greater benefits, even if they do not forego salaries.

By: Joseph Nwankwo