In a recent statement, the Governor of Oyo State responded to growing public concerns regarding the purported disbursement of N570 billion by the Federal Government to the 36 states.
The governor clarified that the alleged Hardship Fund was a misrepresentation of facts, asserting that no such funds were distributed by the Federal Government.
The funds in question were part of the World Bank-assisted Nigeria COVID-19 Action Recovery and Economic Stimulus (NG-CARES) program, a financial intervention aimed at assisting states with post-pandemic recovery efforts. The governor explained that under this program, states were required to utilize their own resources upfront to support various initiatives. Only after the World Bank verified the expenditure did it reimburse the states through a federal platform.
“The Federal Government did not give any state money,” the governor stated emphatically. “They were simply the conduit through which the reimbursements were made to states for money already spent. It is important to note that the World Bank fund is a loan to states, not a grant. So, states will need to repay this loan.”
The governor further highlighted that Oyo State was reimbursed a total of N6.8 billion under the NG-CARES program, which was allocated to three key result areas, including the distribution of agricultural inputs to smallholder farmers. Oyo State’s model for distributing these inputs, which included biometric capturing of beneficiary farmers, was lauded by the World Bank and adopted as the standard model for the NG-CARES initiative nationwide.
The governor also took the opportunity to underscore the state’s ongoing commitment to transparency in all donor-facilitated interventions. Oyo State has consistently been recognized as one of the top beneficiaries of such programs due to its transparent practices. This commitment extends to other World Bank-facilitated projects, such as the Livestock Productivity and Resilience Support (L-PRES) Project, which aims to create a resilient livestock industry within the state.
In light of the current economic challenges facing Nigeria, the governor emphasized the need for innovative approaches to agriculture, which he identified as a focal point for building a sustainable economy. He acknowledged that while Oyo State alone cannot solve the nation’s economic difficulties, it can serve as a model for other states to follow.
As the governor prepares to take a brief four-week break from his official duties, he expressed confidence in the structures put in place to ensure the continued progress of Oyo State. He thanked the citizens for their unwavering support and expressed optimism about the state’s future, urging collective efforts towards creating a model of productivity and resilience that could inspire the entire nation.
