The Federal Government of Nigeria announced the withdrawal of its plan to sell subsidised 50-kilogram bags of rice to civil servants for N40,000.
This decision was communicated through a circular titled "Withdrawal of Internal Circular on Sale of Subsidized Rice to Public Servants," signed by the permanent secretary of the Ministry of Special Duties and Inter-Governmental Affairs (Human Resources Management Department).
The circular stated, "I am directed to refer to our internal circular in the Ministry (Federal Ministry of Special Duties and Inter-Governmental Affairs) of 1st August, 2024 on the above subject matter and to inform you that the Internal Circular is hereby withdrawn.
Further details will be communicated in due course. Please bring the contents of this internal circular to the attention of staff in your respective Departments and Units for their information and proper guidance."
The initial plan, which aimed to alleviate the ongoing food crisis, had been disclosed in a letter seen by BusinessDay from the Federal Ministry of Special Duties and Inter-Governmental Affairs.
Payment and distribution of the rice were to be coordinated by designated offices, with the chairman of the Joint Union Council of the ministry serving as an observer to ensure transparency.
However, the abrupt cancellation has left many civil servants in disarray. A civil servant from the Ministry of Power expressed frustration, stating that this decision exemplifies the government's tendency to make on-the-spur-of-moment decisions, which significantly impacts her and her colleagues.
The government did not provide a reason for the withdrawal, adding to the confusion among the affected civil servants. This move comes amidst broader economic challenges, including the negative impact of fuel subsidy removal on small and medium-sized enterprises (SMEs), which has led to increased production costs, reduced profits, and financial strain.
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