Economic Security: Nigeria's Bank of Agriculture Will Be Recapitalized

Kashim Shettima, Vice President 

Vice President Kashim Shettima has disclosed plans by the Federal Government to recapitalize and restructure the Bank of Agriculture (BOA) to bolster Nigeria's agricultural sector and achieve national food security.

The Nigerian government intends to recapitalize and restructure the Bank of Agriculture (BOA) in order to support the country's agricultural sector and ensure national food security, according to Vice President Kashim Shettima.

This comes right after the government formally turned over control of the Zungeru Hydroelectric Power Plant to Penstock Limited, a private enterprise.

It is anticipated that this action will increase Nigeria's capacity to generate electricity and make a major contribution towards satisfying the nation's increasing energy needs.

This was revealed on Tuesday at the Presidential Villa in Abuja during the National Council on Privatization's (NCP) inaugural meeting for 2024.

Vice President Shettima highlighted during her remarks at the meeting how BOA has the capacity to be a key player in attaining national food security, pointing to its vast branch network that spans all of the nation's senatorial districts.

However he expressed concerns about the bank's present operations, especially its propensity to make unaffordable loan disbursements.

Senator Shettima argued in favor of modernizing the BOA, stressing the need to upgrade branch facilities and make use of technology. She said that the bank would be able to operate more efficiently and carry out its essential role in promoting agricultural development if it adopted contemporary financial systems.

He suggested integrating the Green Imperative Project with the BOA's restructuring plans, hinting at the project's potential even further.

“For me, we can marry the Green Imperative Project while we are going to bring in assorted agricultural machinery. Every farmer should be given a tractor, harvester and other necessary machinery. We can take in the latest advances in science and technology and make it possible to track these items so that divergence can be minimized.

“We have no business being poor. Nigeria must attain national food security. Let us leverage science and technology. There are three or four states that can feed the whole of this country,” the VP said

Important decisions have been made, and more information is anticipated soon. A committee chaired by Finance Minister Wale Edun is currently wrapping up a report on the recapitalization and restructuring of the BOA.

 Power Plant Zungeru

Significant developments in the Zungeru Hydroelectric Power Plant (ZHPP) concession were reported at the meeting by the NCP, including the formal handover of the plant's operations to Penstock Limited.

The Bureau of Public Enterprises (BPE) and Penstock Limited signed the concession agreement on December 13, 2023.

On January 5, 2024, the Concessionaire paid half of the commencement fees in accordance with the Council's approval, fulfilling their obligation.

The plant's operations were formally transferred to Penstock Limited on January 23, 2024, during the official handover ceremony.

Also See: Economic Security: FG Threatens To Import Large Quantities Of Cement [VIDEO]

The report on the sale of the NITEL/MTEL property at Moloney Street, Lagos, was also updated and delivered to the Council.

It was mentioned that attempts are being made to get the undocumented residents out of the property and settle the legal dispute.

The Bureau of Public Enterprises (BPE) has given the Minister of Communications, Innovation and Digital Economy and the Postmaster General comprehensive information to help with the ongoing Postal Sector Reform, despite resistance from NIPOST and unions, according to the audit of NIPOST properties nationwide.