The N1.12 trillion anchor borrowers plan is an initiative of the Federal Government’s initiatives and agricultural finance through the Central Bank of Nigeria (CBN), and the House of Representatives has demanded investigations into it.
The Nigeria Incentive-Based Risk Sharing System for Agricultural Lending (NIRSAL), the Bank of Industry (BoI), and other organizations are also involved in the investigation. On Tuesday in Abuja, the House floor saw the acceptance of a motion made by Representative Chike Okafor (APC-Imo), which led to the resolution.
During the presentation of his motion, Okafor made a connection between the alleged mishandling of agricultural money meant for Nigeria’s agricultural growth and the country’s increasing rates of food shortages and malnutrition.
He said the Federal Government had expended N8 trillion in 8 years on various schemes and interventions with the view of making food available for millions of Nigerians. He added that the alleged mismanagement, misapplication of funds, and abuse of the programmes had left Nigeria with the twin challenges of food scarcity and malnutrition.
Okafor said that funds advanced to end users of the various Federal Government interventions had also been allegedly misused, misapplied, and channelled to non-farming and non-agricultural purposes. This, he said, was responsible for the current acute scarcity of food in the country.
Adopting the motion, the House mandated the Committee on Nutrition and Food Security, as well as the Committee on Agricultural Production and Services; Agricultural Colleges and Institutions and Finance, to probe
The Committees were mandated to thoroughly investigate CBN’s alleged mismanagement of the Anchor Borrowers Program (ABP) for which ₦1.12 trillion was to be disbursed to 4.67 million farmers. The farmers who were said to be involved in either maize, rice or wheat farming through 563 anchors.
The committees are also to look into NIRSAL’s disbursement of ₦215,066,980,274.52, to facilitate agriculture and agribusinesses. The house gave the committees four weeks to report back to the House.
The house also mandated the committees to equally assess how the Bank of Industry (BOI) disbursed N3 billion to 22,120 small holder farmers through the Agriculture Value chain financing (AVCF) Programme. The committee is to also investigate the handling of the N5 billion loan facility to the Bank of Agriculture (BOA) for livestock farmers across the country.
This will also include the management of the National Agricultural Development N1.6 billion Recovery Fund for the Ginger Blight Epidemics Central Taskforce (GBECT). This is for the control of Blight disease in Ginger, among other interventions.
