[Subsidy Removal] FG Approves 5bn Each As Palliative For States

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

Thursday’s development comes in the wake of the hike in the cost of food items, and petroleum owing to the removal of subsidy on the commodity.

In addition to the fund, Zulum said the Federal Government also released five trucks of rice each to the 36 state governors.

Explaining further, Governor Zulum said the state governors are to procure 100,000 bags of rice, 40,000 bags of maize, and fertilizers.

He noted that 52 percent of the funds were given to the state governments as grants while 48% is as loans.

Asides from the economic difficulties facing Nigeria in the wake of the subsidy removal, NEC also discussed security issues especially recent attacks in the northern parts of the country.

Apart from Governor Zulum, Vice President Kashim Shettima, who chaired it, governors and other stakeholders were at the meeting.

Members of NEC have been deliberating on measures to cushion the impact of the subsidy removal.

NEC’s most recent meeting is coming hours after the Nigerian National Petroleum Company (NNPC) Limited secured a $3 billion Emergency Crude Repayment Loan from African Export-Import Bank (AFREXIM) Bank.