W’Bank Reports Cash Transfer Scheme Had Limited Effect on Households

The World Bank’s assessment of the Federal Government’s conditional cash transfer scheme indicates minimal impact on household consumption, financial inclusion, and employment of beneficiaries.

The scheme also showed little effect on women’s employment, despite substantial funding from the global lender as a loan. These findings were revealed in a recent research document posted on the World Bank website.

In 2016, the Federal Government, in partnership with the World Bank, initiated a social safety net program, implemented through the National Social Safety Nets Project.

Initially planning to provide ₦5,000 to one million Nigerians as part of a ₦500bn social intervention package, the program continued under President Muhammadu Buhari’s administration.

However, upon taking office, President Bola Tinubu, through the National Economic Council, rejected the social intervention register due to credibility concerns.

Nonetheless, the government secured an $800m World Bank facility, intended for cash transfers to vulnerable Nigerians after the removal of the petrol subsidy.

The World Bank report suggests that the program did not significantly improve financial inclusion but recommends a complementary livelihood support intervention to enhance households’ self-sufficiency.

Despite these challenges, the program had some positive outcomes, such as increased household savings and food security, improved access to farmland and livestock, and enhanced autonomy in decision-making and freedom of movement for beneficiaries.

Meanwhile, the Minister of Finance and Coordinating Minister of the Economy, Wale Edun, has announced that the Federal Government’s social intervention programs will resume soon, following the completion of biometric verification of beneficiaries.

The implementation of these programs has faced scrutiny due to corruption allegations, leading to the suspension of the Minister of Humanitarian Affairs, Dr. Beta Edu.