Hunger/Hardship: FG Disburses ₦570 Billion in Grants To State Governments

In response to the national outcry against hunger and hardship, the federal government announced that it has given the 36 states ₦570 billion to support their residents’ livelihoods.

In his Sunday speech to the nation, President Bola Tinubu also revealed that the Federal Government’s coffers received ₦9.1 trillion in total fiscal revenue in the first half of 2024—a substantial increase above fiscal revenue received by the previous administration.

Additionally, the 36 states have received more than N570 billion to promote their citizens’ livelihoods, and our nano-grants have benefited 600,000 nano-businesses. The President said, “An additional 400,000 more nanobusinesses are expected to benefit.”

The President gave an explanation for the decrease in Nigeria’s debt load, stating that income from debt servicing fell from 97% in 2023 to 68% in 2024.

He said that the nation had paid off its legal outstanding foreign exchange debt, totaling roughly $5 billion, “without any adverse impact on our programs.”

The President claims that as a result of the debt reduction, the nation now has more financial flexibility, which enables it to spend more on vital social services like healthcare and education.

He stated that his administration encountered a nation that was not only reliant on oil but also disregarded its gas resources while providing fuel subsidies, despite Nigeria’s vast oil and gas resources.

He stated that this influenced the investment in compressed natural gas made by his administration.

“My fellow Nigerians, while we are endowed with abundant gas and oil resources, we recently visited a nation that had been relying entirely on gas resources to power its economy in favor of gasoline derived from oil. In addition, we were subsidizing and paying for its use with our hard-earned foreign cash.

“To solve this, we started our Compressed Natural Gas Initiative right once, which will power our transportation economy and save expenses. This will free up our resources for additional investments in healthcare and education, saving nearly N2 trillion a month that would have been utilized to import PMS and AGO, according to Tinubu.

Additionally, Tinubu stated on the Sunday program that his administration was prepared to hear the grievances of participants in the August 1, 2024, countrywide protest and to respond to them.

The President attributed the first half of the year’s income rise to efforts to stop leaks, automate processes, and find innovative ways to raise money without adding to the weight of the populace.

According to him, non-oil sector productivity is steadily rising, hitting record highs, and taking advantage of the opportunity given by the present economic climate.

“Our government has made significant progress in rebuilding the foundation of our economy to carry us into a future of plenty and abundance,” he stated. “This has been going on for the past 14 months.”

In terms of the budget, total government revenues have more than quadrupled, reaching over N9.1 trillion in the first half of 2024 as compared to the same period in 2023. This is because of our efforts to stop leaks, automate processes, and creatively mobilize funds without putting further strain on the populace.

According to Tinubu, “productivity in the non-oil sector is steadily rising, hitting new heights and seizing the opportunities in the current economic ambience.”

He said that one million kits, at extremely cheap or no cost, would be given to commercial vehicles that transport people and products. These vehicles currently use eighty percent of the imported fuel and diesel.

In collaboration with the business sector, we have begun to distribute conversion kits and establish conversion centers around the nation. According to Tinubu, “We think that this CNG initiative will help to curb inflation and reduce transportation costs by about 60%.”

The Nigerian National Petroleum Company Limited is still the only company authorized to import gasoline into Nigeria, however authorized individuals have been bringing diesel into the nation.

Nigeria is the biggest oil producer in Africa, but because of its limited refining capability, it is dependent on imported petroleum products.