Hunger doesn’t wait. In Nigeria today, food sellers, farmers, and consumers are all feeling the squeeze — seeds cost more, fertilizer is harder to get, prices rise daily. Into this pressure cooker steps President Bola Tinubu with a directive: the Bank of Agriculture (BOA) must immediately settle ₦30 billion in unpaid arrears to agro-dealers and input suppliers under the National Agricultural Growth Scheme & Agro-Pocket (NAGS-AP).
On paper, this is bold. Traders who once waited months — even years — for payment under government programs could see relief. Farmers may access seeds and fertilizer more readily. Food supply chains threaten to breathe again.
But underneath, there are tougher questions: will this money reach who it should, fast enough? Will it curb food inflation, or is it a political bandage? Because the food crisis isn’t just about money — it’s about trust, infrastructure, logistics, and policy continuity.
What the Policy Involves — Key Facts & Mechanics
Outstanding Arrears: The ₦30B is meant to settle past due payments owed to agro-dealers and input suppliers who participated in 2024’s dry and wet season under NAGS-AP and Agro-Pocket.
Funding Source: This is the second tranche released by the African Development Bank (AfDB) for the NAGS-AP program.
BOA’s Role: The Bank of Agriculture is appointed custodian of all agricultural financing program funds. It has been told to use its electronic wallet system to fast-track payments to agro-dealers.
Compliance & Verification: Beneficiaries must meet criteria: registered agro-dealers, have a BOA account, had at least one claim under the scheme, and have activated their accounts. Non-compliance delays processing.
Timelines & Oversight: BOA is directed to make payments to qualifying agro-dealers within 24 hours once claims are verified. Weekly updates are required until the arrears are fully cleared. The Minister of Finance, Wale Edun, has placed high priority on the process.
Is This Relief Enough, or Just the Cheapest Appeasement?
Tinubu’s ₦30B directive may be the most visible move yet in his food security agenda. But true food stability doesn’t bend to single payments—it requires infrastructure, logistics, rural empowerment, consistent credit, storage and transportation systems, and stable policies.
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Nigeria has seen enough “programme cycles” that begin grandly and fizzle badly. If this becomes merely another fiscal hit without structural backbone, the relapse in food shortages and inflation will remind everyone of the brittle nature of these fixes.
Because when people in markets are still unable to afford beans, rice, or tomatoes, no amount of directives or payouts will feel like victory. It will feel like promise broken.
