Gov Sule States World Bank Loan Won’t Ease Hardship

Gov Sule clarifies that the World Bank loan is not meant to cushion the effects of hardship. Learn more about the intended use of the funds.

On Thursday, Abdullahi Sule, the Governor of Nasarawa State made it clear that States’ receipt of a loan from the World Bank is intended solely for infrastructural development and not to alleviate Nigerian citizens’ suffering.

Within the span of nine months, a total sum of N573 billion was allocated to state governors by the Federal Government for poverty alleviation. Various Nigerians, among them human rights attorney Femi Falana, urged states and the FCT to detail how these funds were utilized.

During an appearance on Politics Today by Channels Television, the governor clarified that states obtained funds in multiple installments with the most recent installment being received this June.

“He said the funds are designated for specific projects and resemble a structured loan from the World Bank. They cannot be used for rice, relief measures or any other similar expenses.”

The money was received from the World Bank as a second disbursement in November of last year. The amount was then credited to the accounts of all other states, mostly around January.

Nasarawa received over 10% of the second tranche, amounting to N13.6 billion as stated by the governor.

“The repayment has no interest,” stated the governor in response to inquiries on the percentage given by The World Bank.

“The reason for its emergence was to provide aid to states that were affected by Covid. The inception of this initiative can be traced back to the year 2020.”

The initial release of funds occurred prior to the arrival of Mr. President in May 2023, and it was promptly followed by a publicized distribution process in June known as the third disbursement. All states have received their allocations, with none disputing receipt thereof.

NG-CARES programme received N77 billion disbursement from the Federal Government in April 2023. The funds were provided to states and the FCT, aimed at combating multi-dimensional poverty across Nigeria.

To combat poverty, the Muhammadu Buhari administration allocated N112 billion in funds to states and FCT.

In 2023, the Federal Government gave its approval for N135.4 to be released as reimbursement to States and FCT in order to implement the Nigeria COVID-19 Action Recovery and Economic Stimulus (NG CARES) Programme.

During the Nigeria Community Action for Resilience and Economic Stimulus program in July 2024, reimbursement of over N438 billion was released by the Federal Government to 34 states and the Federal Capital Territory. However, Kaduna and Anambra States were not among those who received funding as they failed to present their results for verification during this exercise.