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Fuel Subsidy Palliatives: Nigerian Government approves N5bn each, rice for states, FCT

*The Federal Government explains the subsidy removal palliative fund and five truckloads of rice are meant to enable the 36 states and FCT to procure food items for distribution to the vulnerable citizens in their respective states in the Federation

Alexander Davis | ConsumerConnect

In consonance with the decision to minimise the effects of fuel subsidy removal on Nigerians, the Federal Government has approved N5 billion for each state of the Federation and Abuja, Federal Capital Territory (FCT).

ConsumerConnect reports the government said the fund was meant to enable the 36 states and FCT to procure food items for distribution to the poor in their respective states.

Governor (Prof.) Babagana Zulum of Borno State disclosed this development at the Presidential Villa, Abuja, shortly after the country’s National Economic Council (NEC) meeting.

It is noted that release of the post-subsidy palliatives comes in view of the current increases in prices of food items and other commodities, including petroleum products due to the removal of fuel subsidy.

It was also learnt that NEC

set up a committee, consisting of Anambra State Governor Charles Soludo, and Chairman of the Nigerian Governors’ Forum (NGF) Governor AbdulRazaq AbdulRahman of Kwara State among others.

Vice-President Kashim Shettima, who chaired the NEC, state governors and other stakeholders were at the meeting, according to report.

The members of the Committee were tasked with the responsibility of engaging with the leadership of the Organised Labour, including the Nigeria Labour Congress (NLC) over the Labour leaders’ push for palliatives due to the subsidy removal.

Governor Zulum further revealed that aside from the palliative, the Federal Government had released five trucks of rice each to the 36 state governors in the country.

According to the Borno State Governor stated the state governors are to procure 100,000 bags of rice, 40,000 bags of maize, and fertilizers as part of the palliative arrangements.

However, 52 percent of the funds was allotted to the state governments as grants with 48 percent as loans for repayment.

Aside from the economic difficulties facing Nigeria in the wake of the subsidy removal, the NEC also discussed security issues, especially recent attacks in the Northern parts of the West African country.

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