President Bola Tinubu has written a letter to the Senate seeking approval to obtain a loan of $800 million from the World Bank to finance the Federal Government’s National Safety Net Programme.
The president’s letter titled “Request for Approval of Additional Financing of the National Social Safety Net Programme Scale-up by the National Assembly” was read by the Senate President, Sen/ Godswill Akpabio, during plenary on Thursday, July 13, 2023.
Tinubu wrote: “Please note that the Federal Executive Council, led by former President Muhammadu Buhari approved an additional loan facility to the tune of $800 million.
“It is to be secured from the World Bank for the National Social Safety Net Programme.
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“The purpose of the facility is to expand coverage of shock responsive safety nets support for the poor and vulnerable Nigerians and to help them cope with the cost of meeting basic needs.
“You may further wish to note that under the conditional cash transfer window of the program, the Federal Government of Nigeria will transfer the sum of N8,000 a month to 12 million poor and low-income people.
“This is for six months with a multiplier effect on about 60 million individuals.
“To guarantee the credibility of the process, digital transfers will be made directly to beneficiaries’ accounts and mobile wallets.
“It is expected that the program will stimulate economic activity in the informal sector and improve nutrition, health, and education outcomes for beneficiary households.
“Given the above, I wish to invite the Senate’s approval for the additional loan facility of $800 million to be secured from the World Bank for the National Social Safety Net Programme”, Tinubu added.
After reading the letter to the lawmakers, the Senate President, thereafter, referred the matter to the Committee of the Whole because “we have not yet constituted all the other necessary organs of the senate.”
It would be recalled that former President Muhammadu Buhari had in May this year sought the approval of the National Assembly for the $800 million World Bank loan, which is meant to help cushion the effect of petrol subsidy removal on poor and vulnerable Nigerians.
Buhari, in the letter, stated that the funds were for the National Social Safety Net Programme and specifically intended to expand coverage of shock-responsive safety net support among the poor and vulnerable Nigerians.
