Home News HOR Orders Committee to Probe N2trn Agricultural Funding Initiative 

HOR Orders Committee to Probe N2trn Agricultural Funding Initiative 

by AgroNigeria

Following the adoption of a motion moved by Hon. Chike Okafor during the plenary in Abuja, the House of Representatives on Tuesday mandated its Committees on Nutrition and Food Security and Agricultural Production and Services, Agricultural Colleges and Institutions and Finance to conduct a comprehensive investigation into the alleged misuse of government interventions and two trillion agricultural funding scheme. 

Investigations quarters included departments, agencies, Schemes and Programmes of the Federal Government outside the Federal Ministry of Agriculture and Food Security.

Moving the motion, Okafor noted that there is growing food scarcity and malnutrition in Nigeria and the alleged mismanagement of agricultural funds intended for agricultural development in the country.

He also noted that the Federal Government, through various schemes and interventions in the last eight years have spent over two trillion Naira in funding agricultural interventions with the view of making food available for millions of Nigerians, but due to the alleged mismanagement, misapplication of funds and abuse of the programs, Nigeria is still experiencing food scarcity and malnutrition.

According to him, the reports and allegations of abuse, mismanagement, and l misapplication of government intervention funds earmarked for agricultural development and food security initiatives in Nigeria through the Central Bank of Nigeria, Anchor Borrowers Program disbursing about I.12 trillion Naira to 4.67 million farmers involved in either maize, rice or wheat farming through 563 (five hundred and sixty-three only) anchors.

“The Nigeria Incentive-Based Risk Sharing System for Agricultural Lending (NIRSAL) disbursed (two hundred and fifteen billion, sixty-six million, nine hundred and eighty thousand, two hundred and seventy-four Naira, fifty-two Kobo) so far to facilitate agriculture and agro-businesses.

“Bank of Industry (BOI) disbursed 3 billion Naira to twenty-two thousand, one hundred and twenty smallholder farmers through the Agriculture Value Chain Financing (AVCF) Programme. Additionally, the bank funded forty-nine agro and food processing businesses with 59.4 billion Naira in loans.

“In 2023, the Federal Government of Nigeria unveiled a 5 billion Naira Loan facility to the Bank of Agriculture (BOA) for Livestock farmers across the country.

“National Agricultural Development Fund in March of 2024 inaugurated a NI.6 billion Recovery Fund for the Ginger Blight Epidemics Central Taskforce (GBECT) for the control of Blight disease in Ginger, among other interventions.

“Also aware that funds advanced to end users of the Federal Government interventions were allegedly misused, misapplied and channelled to non-farming and non-agricultural purposes, hence the current acute scarcity of food.

“The agricultural sector plays a crucial role in ensuring food security, improving nutrition, and supporting the livelihoods of millions of Nigerians and any abuse of the programs and schemes of the government drastically affects millions of innocent citizens.

He added that it was necessary to investigate government agricultural interventions and funding allocated to Departments, Agencies, Schemes and Programs outside the Federal Ministry of Agriculture and Food Security in order to ensure transparency, accountability, and effective resource utilisation.

The Committee is therefore expected to report back to the House within four legislative weeks for further legislative actions.

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