Central Bank of Nigeria Offers Support to Boost Agricultural Production
The Central Bank of Nigeria (CBN) clarified its stance on real sector interventions by donating 2.15 million tonnes of assorted fertilisers, valued at over N 100 billion, to the Federal Ministry of Agriculture and Food Security.
Contrary to speculation, the CBN stated that this donation does not signify a return to direct interventions in the economy’s real sectors.
Explaining the rationale behind the move, the apex bank highlighted that the fertilisers were residual stock from its previous agricultural sector interventions and were at risk of going to waste.
By releasing them to the ministry, the CBN aims to support domestic agricultural production and combat rising food inflation, aligning with its core mandate of ensuring monetary and price stability.
Governor Olayemi Cardoso emphasized that the CBN’s focus remains on its core mandate, shifting away from direct involvement in development initiatives. However, the bank pledged to assist capable organizations willing to intervene directly in relevant sectors.
The fertilisers will be distributed to Nigerian farmers through the Federal Ministry of Agriculture and Food Security, leveraging its expertise and infrastructure for efficient distribution.
This partnership aims to enhance food productivity and security, ultimately curbing food inflation and reinforcing the CBN’s pursuit of price stability.
Regarding distribution logistics, the CBN recommended that the ministry, equipped with the necessary expertise, ensure that fertilisers reach farmers across the country efficiently and effectively.
This initiative underscores the collaborative effort between the CBN and relevant government bodies to bolster agricultural productivity and tackle economic challenges effectively.
