Subsidy Removal: Huge relief as Tinubu's govt moves to crash food prices, gives fresh directive to NEMA, CBN

The National Economic Council (NEC) has directed the National Emergency Management Agency (NEMA) to immediately distribute grains to states within one or two weeks to bring down the price of food items across the country.

Governor Bala Mohammed of Bauchi State made the disclosure while briefing newsmen on the outcome of the NEC meeting, chaired by Vice President Kashim Shettima at the Presidential Villa, Abuja, on Thursday, July 20.

The governor said that Shettima directed NEMA to release the grains immediately, adding that states would be involved in the mechanism, Daily Trust reported.

Mohammed, who expressed concern over the high prices of food items, noted that food was a key component of what was considered by the council.

He said, “The National Economic Council (NEC) discussed giving broader interventions to all the sectors and all the segments of the society.

“Food is a key component of what is on the table in terms of food security. On the escalation of prices of foodstuff, we are happy because NEC has seriously engaged with NEMA, the Central Bank of Nigeria (CBN) and indeed with the Ministry of Agriculture.

“We have some buffer stock that is already there with NEMA, so council directed that the states will immediately be allocated substantial portions of food items, grains and so on for distribution so that the prices of food stuff will come down.

“These grains will be given at subsidized rates or at the rates they were acquired. The CBN’s Anchor Borrowers Programme and its Agric. programme have ensured a large stock of rice and other grains. These will be made available within one week so that they will be distributed to the states.”

The governor revealed that NEC had established a robust agreement that states and local governments would be involved in the distribution of the grains, Daily Nigerian report added.

Following the removal of the petrol subsidy and the recent hike in petrol prices to up to N617/litre, the National Executive Council (NEC) has finally agreed on palliative measures for Nigerians.

The decision was reached on Thursday, July 20, at a meeting held at the Council Chambers of the State House in Abuja.

The meeting, which was chaired by Vice President Kashim Shettima, has in attendance governors of the 36 states of the Federation, the Director General of the Nigerian Governors’ Forum, as well as stakeholders from the World Bank and other agencies of government.

NEC also considered integrity tests on state social registers, cash transfers would be done via state social registers Subject to State peculiarities.