Oyo State Governor Seyi Makinde has refuted President Bola Ahmed Tinubu's assertion that the federal government disbursed N570 billion to Nigeria's 36 states.
Governor Makinde clarified that the funds in question were not a direct allocation from the federal government but rather World Bank COVID-19 funds, with the federal government merely acting as an intermediary.
Governor Makinde made this statement in a newsletter published on the state's official website on Thursday August, 8th. He emphasized that the information presented by President Tinubu was "not completely accurate."
According to Makinde, the money received by the states was part of the World Bank-assisted NG-CARES project, a Programme for Results intervention aimed at aiding states in their COVID-19 recovery efforts.
"The Federal Government did not give any State money; they were simply the conduit through which the reimbursements were made to States for money already spent," Makinde stated. He further explained that the funding was contingent on what the states had already spent on COVID-19 programs, meaning the World Bank was reimbursing the states for their expenditures.
Makinde also highlighted that the funds were loans, not grants, and would need to be repaid by the states. "It is important to note that the World Bank fund is a loan to States, not a grant. So, States will need to repay this loan," he said.
The governor provided specific figures to support his claims, noting that Oyo State received N5.98 billion in the first instance and N822 million in the second instance as reimbursement for investments made under the NG-CARES program. He added that the World Bank had adopted Oyo State's model for the distribution of inputs to smallholder farmers, which included biometric capturing of beneficiary farmers.
President Tinubu had previously announced during a nationwide address that his administration had released more than N570 billion to the 36 states to expand livelihood support for their citizens. However, Governor Makinde's detailed clarification suggests a huge misrepresentation of the facts.
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