FG to allocate 5 billion naira each to 36 to mitigate the hardship cause by fuel subsidy

Ibrahim Umar
Kanempress
17th, August,2023

The Nigerian government has allocated 180 billion naira to its 36 states for the purchase of rice and maize, in order to mitigate the impact of food scarcity and economic hardship caused by Fuel subsidy removal.

This was said by the Borno State governor, Babagana Umara Zulum today Thursday 17th, August,2023 after the NEC meeting chaired by the Vice president Kashim Shettima.

The reforms, initiated by President Bola Tinubu, are the most ambitious in decades and include removing a costly but popular petrol subsidy and devaluing the naira, a move he hopes will stimulate growth.

However, the actions have triggered inflation which reached an 18-year peak in July. Food prices have skyrocketed due to widespread insecurity, flooding in agricultural areas, a weaker currency and higher transport cost, worsening the cost of living crisis in the country.

Nigeria will publish its second-quarter growth data on Aug. 25, the first after Tinubu launched the reforms.

Zulum said each state will receive 5 billion naira as partly a grant and a 2-year loan to acquire 100,000 trucks of rice and 40,000 trucks of maize.