COVID-19: How Nigerian Economy is Better Than Most Struggling Economies, Osinbajo reveals

COVID-19: How Nigerian Economy is Better Than Most Struggling Economies, Osinbajo reveals

  • Yemi Osinbajo has highlighted outcomes as well as problems in the implementation of the post COVID-19 stimulus package
  • The vice president lamented that CBN and other banks have delayed in releasing funds causing implementation delays in various sectors
  • Osinbajo noted that the Nigerian economy would have been worse off than most economies if not for good policies

Nigeria's Vice President Professor Yemi Osinbajo on Monday, October 11, gave a detailed report of the Economic Sustainability Plan.

Osinbajo in an event that was live on Channels TV and monitored by highlighted successful outcomes and problems that has delayed the better implementation of the N2.3 Trillion post Covid-19 stimulus package.

Yemi Osinbajo
The vice president has highlighted outcomes of the post COVID-19 stimulus package. Photo credit: Professor Yemi Osinbajo
Source: Facebook

He disclosed that where it not that the president acted in time to set up the Sustainability Plan, the economic pains associated with COVID-19 would have been deeper and lasted longer.

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While dishing out facts and figures of the achievements of the Post Covid-19 stimulus, the vice president lamented that the CBN and the banks have delayed in releasing much of the funds causing implementation delays in the Agric, Solar Power and Social Housing sectors.

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He lamented that only N14B of the sum allocated has been released by the banking system: CBN and the commercial banks.

Of the N471B, "so far only N14B is disbursed to commercial banks and is yet to be utilised by farmers due to late release for the 2021 wet farming season, " according to the VP.

He had a similar regret regarding the Social Housing programme of the ESP where very low cost, mass affordable housing was planned-300,000 across the country.

The VP said " there are continuing delays in the disbursements of funds from the CBN. The Debenture Agreement for N200B with the CBN which represents bulk of the financing was agreed on 22nd April and has been signed by all parties. However disbursement is yet to take place.

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There was a similar lamentation when the VP reviewed the Solar Power Naija programme of the ESP where 5m solar power connections are planned. This programme he said will increase energy access to 25 m Nigerians. Already he disclosed that 704k Solar connections are certainly underway now and another 600k connections is in the offing.

But the 5m Solar Connections target is being delayed because while N140B was allocated through the CBN to facilitate, only N7B of that has been disbursed.

Said the VP: "Unwillingness of CBN to disburse funds, risk aversion of Public and private financial institutions particularly for Power projects," were among challenges militating against a faster speed of implementation.

The VP said with the Sustainability Plan in place, revenues improved despite oil production issues, while macroeconomic indices are trending in the right direction. Besides there has been a rebound in a number of sectors like Transport that had risen by 77%, Hospitality by 2%, Education 1%, Real Estate 4%, Trade 23% and construction by 4%.

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The VP noted that CBN reports indicated disbursements of a total of N798B to 3.9m small holder farmers under the Anchor Borrowers Programme, N134B to 38,140 beneficiaries in soft agric and small business loans and grants, and a total of N1Trillion to 269 real sector projects  and another N103B disbursed to 110 health care projects.

Prof. Osinbajo (SAN) said during if not for good policies, the Nigerian economy would have been worse off than most economies who are now struggling with the negative impacts of COVID-19.

Osinbajo finally speaks out, reveals his opinion on Buhari's govt

Earlier, reported that Osinbajo stated that Nigerians need a credible leader like President Muhammadu Buhari who can inspire national unity.

Osinbajo made this claim on Saturday, October 9, during an interactive session at the Abuja House residence of the High Commissioner in London when he spoke on the country's bright future.

The vice president noted that Buhari came as a blessing at such a trying time because he, according to him, happens to be Nigeria's most reliable politician who has demonstrated matchless credibility in his administration.


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