By Tony Obiechina, Abuja
The Minister of State for Finance, Budget and National Planning, Prince Clem Agba said on Thursday that the Federal Government approved a World Bank loan of $750 million on behalf of the States to enable them implement the Nigeria COVID-19 Action Recovery a d Economic Stimulus (NG-CARES) Programme.
Agba who made the clarification at the Official launching of the NG-CARES in Abuja said the programme, which was declared effective on 28th September, 2021 “is aimed at stimulating the local economy and support consumption by poor and vulnerable people, threatened by the impact of COVID-19 Pandemic over the next 2 years”.
He explained that preparation for the programme was both intensive and participatory, with the Federal and States Government officials working in collaboration with the World Bank to design the framework, operational guidelines that focused on the provision of support to the poor and vulnerable individuals and households, poor communities, small holder farmers and the Micro and Small Enterprises.
The Minister said, “This programme will be implemented in line with the National Development Plan (NDP) 2021-2025. The NG-CARES is being implemented in all the 36 States of the Federation and the Federal Capital Territory (FCT) and its implementation is anchored on the Programme-for-Results (PforR) model, where States are expected to expend their own resources to implement and subsequently get reimbursed upon satisfactory verification of achievements in line with stipulated guidelines.
“In the case of NG-CARES however, a provision for Advance has been factored by the World Bank. Hence, all the States and FCT, will be given an advance to enable them commence implementation on a strong base”.
Agba also disclosed that some States have commenced implementation of the programme by utilizing funds from their own treasury and already posting positive prior results to be reimbursed after due verification by the Independent Verification Agency (IVA).
“This is remarkable and I wish to encourage the States to commit their own resources beyond the envisaged Advance from the World Bank. I also want to implore you all to adhere strictly to the NG-CARES implementation guidelines and ensure that the purpose for the programme is achieved for the benefit of poor and vulnerable Nigerians and the economic growth of the nation”, he said.
According to him, the framework for the NG-CARES Programme is within the context of the Nigerian Economic Sustainability Plan (ESP) and the National Development Plan (NDP) 2021-2025 which were developed in the wake of the COVID-19 Pandemic, adding that the objectives of the programme, “are to expand access to livelihood support, food security services and grants for the poor and vulnerable households and firms”.
Agba recalled that prior to COVID-19 Pandemic, the Nigerian economy was on the path of strong growth course, as the country had twelve quarters of positive Gross Domestic Product (GDP) growth rate, lamenting however that the Pandemic “unleashed unprecedented lock down across the globe, truncated the trajectory of sustained recovery of the Nigerian economy”.
“The strategic measures put in place by the Government of Nigeria have however ensured that both Human Development Indicators have continued to record improvement across the key sectors and the Nigerian economy has continued to grow on quarterly basis, indicating the return of business and economic activity”, he added.
The Minister expressed gratitude to President Muhammadu Buhari for approving the NG-CARES Programme to address the effect of the COVID-19 Pandemic on poor Nigerians. He also appreciated the Vice President, Prof. Yemi Osibanjo GCON for lending his support to ensure that the programme is implemented.
