Victor EzejaAs Nigerians continue to raise questions about the Federal Government’s proposal to disburse N500 billion as palliatives, a member of the House of Representatives, has called on the government to spend the money on boosting agricultural production to ensure food security across the country.
Hon. Dennis Agbo, who was elected on the platform of the Labour Party, said that investing the money in improving agricultural production would be more sustainable than disbursing it to 12 million households in six months as proposed by President Bola Tinubu as a form of palliatives to cushion the effect of petrol subsidy removal on Nigerians.
Recall that President Tinubu had last week Wednesday written to the National Assembly seeking an amendment to the 2022 Supplementary Appropriation Act to allow the government to source N500 billion for subsidy palliatives.
The National Assembly, on Thursday, amended the N819.5 billion 2022 supplementary budget and approved the N500 billion for Nigerians to cushion the effects of fuel subsidy removal. It also approved N70 billion to support the “working conditions” of new lawmakers.
This president subsequently announced the disbursement of N8,000 to 12 million Nigerian households.
This has generated reactions from Nigerians including organised labour who kicked against it.
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While appearing on Channels Television Sunrise Daily on Monday, the lawmaker, who represents Igbo-Eze North/Udenu Federal Constituency at the National Assembly, said N8,000 to 12 million households for six months through direct transfer will not be the best option for now, adding that the palliative will not reach a greater number of people.
According to him, channeling the fund to agriculture “would create more impact than trying to distribute N8,000 per household for the next six months because it looking at the current reality, the money means next to nothing.”
“I would suggest that the bulk, in fact, the whole of that money be expended on improving production in Nigeria; agricultural production in particular.
“If you push this money into agricultural production, something significant would happen because N500 billion is not a small amount,” Agbo stated.
READ ALSO: Subsidy Removal: Channel Funds For Palliatives To Productive Ventures – Utomi Urges FG
On how the fund could be spent on agriculture, the lawmaker said it could go into giving farmers access to credits, subsidies for getting farm seedlings, and even extension services to improve their knowledge of modern farming practices to increase output.
“If you utilize N500 billion properly in irrigation giving us more than three cycles of maize cultivation in one year, if you utilize it to improve seedlings through the agricultural agencies and it reaches these farmers; if you use it to give them access to credit, access to market, and security; if these things are provided for farmers, I am sure that prices would come down. When prices come down, the effect of it would be better felt even more than the N8,000 to households,” Agbo added.
On the N70 billion allocated to National Assembly from the N819 billion 2022 supplementary budget, Agbo said it is for renovation works and installation of digital equipment for the security system around the Assembly complex.
Victor Ezeja is a passionate journalist with six years of experience writing on economy, politics and energy. He holds a Masters degree in Mass Communication.
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