Relief to states as NEC set to review bailout repayment modalities

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The National Economic Council (NEC) is set to review the modalities for repayment by states that benefitted from the Federal Government’s Budget Support Facility.

This is with a view to providing them with some breathing space because of the current economic situation of the country.

This is part of the resolutions reached by a virtual meeting of the council presided over by its chairman and the Vice President, Yemi Osinbajo, on Thursday.

The Central Bank of Nigeria (CBN) has already outlined its plans to commence deductions from the beneficiary states’ monthly allocation.

But the NEC had now set up a committee with Osinbajo telling the meeting participants, “Bearing in mind all of the financial difficulties, we take the position to review the plan to commence the deduction for the loan.”

NEC resolved that representatives of the Governors’ Forum, the CBN and the Federal Ministry of Finance, Budget and National Planning, among others, should meet to review modalities for the imminent deductions of funds from the states to repay the loan.

NEC resolved that the decision is in consideration of the current difficulties experienced by State governments in fulfilling their financial obligations.

The Council also endorsed the revised National Social Protection Policy presented by Minister of Finance, Mrs Zainab Ahmed.

The policy will now go to the Federal Executive Council for approval before transmission to the National Assembly to be passed into law.

When passed, the new policy will replace the “2017-2022 National Social Protection Policy (NSPP).”

Mrs Ahmed explained that the 2017-2022 National Social Protection Policy “was reviewed in consultation with all States and other stakeholders and it is to be subjected to review every five years for update and accommodation of some emerging issues including Pandemics, insecurity and shock responsive Social Protection as well as new institutions.”

She added that the expected benefits of the revised NSPP include among others, “reduction of multi-dimensional poverty; promoting social justice, equity and inclusive growth; reduce unemployment, social and economic vulnerabilities, and other threats to sustainable development.”

NEC also resolved to constitute a committee of the Federal Government and State governors to liaise with other relevant stakeholders to find immediate and long-term solutions to flooding problems across the country.

On this, the Vice President noted that the committee liaising with critical stakeholders will support efforts, whether short, medium or long term, in mitigating the impact of flooding as well as finding lasting solutions to the issue.

Council also commended the efforts of stakeholders including the National Primary Health Care Development Agency (NPHCDA) in the vaccination of more Nigerians against COVID-19.

According to the presentation of the COVID-19 Scorecard by the Executive Director of NPHCDA, Dr Faisal Shaibu, “over 127 million doses of COVID-19 vaccines have been procured and administered through collaborations by the Federal Government and other partners since the inception of the exercise.

“Additional 10.5 million doses of Johnson and Johnson vaccines have been procured by the Federal Government and is being expected in the country before the end of the year.”

Shaibu added that 46 million persons have been fully vaccinated, representing 42 per cent of the total eligible population targeted for the exercise.

He commended Nasarawa and Jigawa State governments for their efforts in ensuring the take-off of the accelerated COVID-19 vaccination exercise in their states.

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