Federal Government Set to Expand Cash Transfer Program to 12 Million Nigerian Households

In a bid to address the economic challenges faced by the poorest and most vulnerable Nigerians, the Federal Government is planning to restart direct cash transfers. Currently, approximately three million individuals benefit from these programs, but with the rising cost of living, an additional 12 million households are expected to qualify for these direct payments.

Minister of Finance and Coordinating Minister for the Economy, Wale Edun, disclosed this plan during the Ministry’s retreat in Uyo, Akwa-Ibom State. Edun emphasized that the expansion aims to provide financial relief to a broader population grappling with economic difficulties.

“The presidential panel on the social investment programs has prepared to go to Mr. President with an internal recommendation to restart the direct payments to the poorest and the most vulnerable. Everything is being done to ease the pain,” stated Edun.

He highlighted the use of technology to ensure transparent and swift payments, eliminating manual processes and potential delays. Edun stressed the urgency of the intervention and the commitment to leveraging technology for seamless direct payments.

Acknowledging the impact of soaring food prices on household budgets, the government is taking steps to increase food availability and reduce costs. Edun reiterated President Bola Tinubu’s intervention to release 60,000 metric tonnes of food grains.

“The goal is to put food, to put feed into the mill, into the market, in an attempt to drive down the cost of food and make food available. Right now, that is the key priority in terms of the fiscal side, in terms of the government side,” explained Edun.

Defending the direct cash transfer plan, Edun emphasized its historical effectiveness in reducing poverty by putting money directly into the hands of those in need. He emphasized the commitment to initiate the process immediately for tangible results.

Addressing concerns about inflation and historical reliance on “Ways and Means” financing, Edun outlined the government’s commitment to reducing the debt burden through various financial and revenue-generating initiatives. He stressed the collaborative efforts between the Ministry of Finance and the Central Bank to stabilize the economy and manage inflation.

“It is a battle, and the tactics change because there is a loss or a need to restore the value of the naira, a need to restore the confidence in holding the naira as a store of value. And all the arsenal, all the instruments available are being brought to the fore and used. And surely it is a battle the central bank will win. It is a battle the government will win. That is not a doubt,” concluded Edun.