The Katsina State Government has refuted the claims circulating in the media that it has received N5 billion from the Federal Government for palliatives, asserting that it received the sum of N2 billion only for procurement of grains to be distributed to citizens.
The government said the received funds are designated for the acquisition of rice to be distributed widely among the population, aimed at alleviating the impacts of the fuel subsidy removal
This is contained in a statement issued by the state Commissioner for Information, Culture and Home Affairs, Mr. Bala Salisu-Zango, on Wednesday.
Mr. Salisu-Zango clarified that “the Federal Government of Nigeria planned to spend N5 billion for the procurement of rice, maize and fertilizer to States, but the Governors insisted that the funds should be released directly to States for the procurement of maize and rice to stimulate local economy, ease distribution process, and other logistics associated with the program. Hence, the decision by Federal Government to release the money in trenches to States.
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“Actually the Federal Government of Nigeria directed the Central Bank to release the funds to States as a soft loan which the Federal Government will repay 52% and States 48% over a period of 12 months.”
He said the state government, under the leadership of its Governor, Malam Dikko Umaru Radda, has already utilized the N2 billion received and purchased 40,000 bags of rice to be distributed to each polling unit in the State.
“Additionally, the Governor has recently directed all Local Government Councils in the State to procure and distribute maize to citizens in their respective local governments free of charge. This action was taken to alleviate the suffering of our people due to the withdrawal of fuel subsidy,” he added.
“The grains for LGAs have been procured and distributed across all polling units in the State.”
Mr. Salisu-Zango reassured the citizens of Katsina that once the next tranche of funds is received from the Federal Government, the state government will proceed to acquire the grains and distribute them accordingly.