Oyo State Governor, Seyi Makinde has criticized the federal government’s labeling of the N570 billion disbursed to states as a ‘Hardship Fund,’ calling it a misrepresentation of facts.
In a newsletter released on Thursday evening, Makinde clarified that the funds in question were part of the World Bank’s COVID-19 Action Recovery Economic Stimulus (NG-CARES) intervention in Nigeria.
He explained that the federal government did not directly give money to the states but acted as a conduit through which the World Bank disbursed these funds.
Makinde emphasized that the World Bank funds were loans to the states, not grants, meaning that the states will be required to repay them.
He noted that Oyo State had been reimbursed N5.98 billion in the first instance and N822 million in the second instance, which were invested in the three result areas of NG-CARES, including the distribution of inputs to smallholder farmers.
In addressing this, Makinde said, “Earlier this week, I received a message from a concerned citizen about the purported N570 billion Hardship Fund ‘given’ to the 36 states by the Federal Government.
I want to categorically state that this is yet another case of misrepresentation of facts. The said funds were part of the World Bank-assisted NG-CARES project—a Programme for Results intervention.”
Makinde further explained that NG-CARES, known as Oyo-CARES in the state, predates the current federal administration.
He reiterated that Oyo State was reimbursed for funds it had already invested in the program and that the federal government merely facilitated the reimbursement process.
He also highlighted that the World Bank had adopted Oyo State’s model for input distribution, which included biometric capturing of beneficiary farmers, as the standard for NG-CARES.
Makinde concluded by affirming Oyo State’s commitment to transparency in all donor-facilitated interventions, which has led to the state being consistently selected as a beneficiary of such programs.
NIGERIAN TRIBUNE
