FG Disburses ₦ 330 billion to Nigeria which is vulnerable through digital cash transfer – Edun

The federal government has disbursed ₦ 330 billion in direct cash transfer to the poor and vulnerable Nigerians under their social protection initiative, according to the Minister of Finance and the Minister of Coordinating Economics, Mr. Wale Edun.

Speaking during the press briefing in Abuja on Wednesday, Edun explained that payments were made through the National Social Safety Coordination Office (Nassco), as part of a broader effort to eliminate the economic impact of recent reforms.

“This is part of the plan by the President to get the social protection program that exists in his mind to help the poorest and most vulnerable through difficulties caused by an increase in price levels, as we all know, as part of the required reforms that are imposed,” said Edun.

This initiative is funded from the World Bank facility \ 800 million and targets individuals and households captured on the national social list, which currently stores data for around 19.7 million households and more than 70 million Nigerians.

“We are happy to report that the social protection program, places a safety net to help people, to overcome the current price increase in the track,” Edun said. “Of the 20 million households on the social list, covering around 75 million Nigerians, this program is for 15 million households, covering 75 million Nigerians. 8.5 million households have now been paid at least one stage of the funds promised to them – ₦ 25,000 Naira.”

“They have two more payments. Some have received two, and some have received three. And following from that, because what has been imposed is a very strong system,” he added.

According to Edun, this program uses a biometric and digital framework to ensure transparency and sustainability. “People are biometrically identified with their national identity numbers. Secondly, they are paid digitally through their bank accounts or their cellphone wallet. So this is a very strong and sustainable system.”

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He assured that all households that met the remaining requirements would receive their payments before the end of the year. “The hope is that 7 million other households will be paid at the end of the year,” Edun said.

Highlighting the importance of this initiative, the Minister said, “What Nigeria now is a strong system to achieve a group of people we want to reach to help the poorest and most vulnerable in the long run.”

In the future, Edun revealed that the Federal Government plans to maintain initiative through special budget provisions. “We hope that there will be the ability to budget every year for help for people to be paid directly to help them at a certain time point with intervention,” he said.

“So Nigeria now has a basis for the modern social protection system. That is the promise of the President. That is what he is now doing. Besides all other improvements in the economy, there is a creation and formation of a very strong system to reach the poor.”

Offering further details, National Coordinator Nassco, Funmi Olotu, explained that the number of payment stages received by beneficiaries varies because of the strict requirements that all recipients are related to their national identity numbers.

“We make a direct debit transfer. Mr. President said there were no more cash payment modes to people. He said we had to pay directly to their bank account. That is why we have the first stage, the second stage and the third trache,” he said.

Cash transfer initiative is part of the economic support strategy of the Tinubu Bola President after the removal of fuel subsidies and floating naira – reforms that significantly affect household income throughout the country.