Nigeria’s Government Initiates Cash Payments for 25 Million Citizens to Combat Poverty
The Nigerian government has initiated cash payments to 25 million impoverished citizens using biometric verification through the National Identification Number and Bank Verification Number. Each beneficiary household receives 75,000 Naira per payment phase as part of efforts to alleviate the effects of rising poverty levels in the country. This program is part of a broader strategy targeting a total of 67 million Nigerians, amidst reports of increased poverty due to economic pressures.
Approximately 25 million impoverished Nigerians listed on the national social register have begun receiving cash payments from the federal government as part of a targeted poverty alleviation initiative. These beneficiaries are confirmed through biometric verification utilizing their National Identification Number (NIN) alongside the Bank Verification Number (BVN). The biometric identification process commenced in October of the previous year, initially identifying about 15 million eligible recipients. Nigeria’s Minister of Finance and Coordinating Minister of the Economy, Wale Edun, reported at a recent National Economic Council meeting that the first two phases of cash dispersal have been successfully conducted. The beneficiaries, hailing from approximately five million households, receive their payments either directly through bank accounts or through digital money wallets. In total, the initiative aims to assist around 67 million Nigerian citizens. Each household is allocated 75,000 Naira (approximately US$45) per payment phase, with plans for additional payments in the future. These financial supports are being initiated amidst an alarming increase in poverty levels, as an additional 14 million Nigerians are projected to have fallen into extreme poverty within 2024. This is highlighted in the 2024 World Bank Macro Poverty report, which estimates that 47 percent of Nigerians live below the global poverty line of $2.15 per day. To address this troubling trend, the report advises the Nigerian government to implement decisive actions such as containing inflation, enhancing non-oil revenue streams, and avoiding fiscal deficit monetization to facilitate economic stability. Minister Edun reaffirmed the government’s commitment to establishing a dependable and precise social register to fulfill social protection obligations effectively. In addition to the 25 million beneficiaries of cash transfers, Edun noted other welfare initiatives, including a consumer credit program that assisted 11,000 individuals with a 3.5 billion Naira (US$2 million) fund in just five days. Furthermore, 500,000 students have gained financial assistance through an educational loan program, which has disbursed 90 billion Naira (US$55 million). Moreover, approximately 600,000 farmers across Nigeria are set to receive subsidized farm inputs and equipment as part of a wider social support scheme. Additionally, Seyi Makinde, the Governor of Oyo State, commented on ongoing efforts in his state to develop a non-politicized social register.
The initiative to provide cash payments to impoverished Nigerians stems from an effort to mitigate poverty levels in the nation, which have markedly worsened in recent years. The introduction of digital identification and biometric verification represents a significant step towards establishing a structured and efficient welfare distribution mechanism. By linking social intervention programs to verifiable identification, the Nigerian government aims to streamline the process of delivering critical financial resources to those in need while ensuring that assistance is directed toward the eligible populace. The latest World Bank report emphasizes the urgency of these measures as economic pressures, particularly inflation, threaten to push more citizens into poverty.
In conclusion, the Nigerian government’s cash payment initiative targeting 25 million poor citizens underscores a broader commitment to poverty alleviation through structured social intervention programs. Amidst rising poverty levels and economic challenges, the reliance on biometric identification systems facilitates the efficient distribution of aid. Continued support for other welfare initiatives, alongside enhanced financial management strategies, is vital for reversing the current trends of escalating poverty across Nigeria.
Original Source: www.biometricupdate.com
