In response to recent concerns raised by a concerned citizen regarding the alleged disbursement of a N570 billion Hardship Fund to the 36 states by the Federal Government, the Oyo State Government has provided a detailed clarification. The citizen’s query centered around the purported receipt and utilization of these funds by the state.

Governor Seyi Makinde, in an official statement, categorically dismissed the notion of any direct financial disbursement from the Federal Government to the states under the said fund. “This is yet another case of misrepresentation of facts,” the Governor stated. “The funds in question were part of the World Bank-assisted NG-CARES project—a Programme for Results intervention.”

The NG-CARES initiative, which stands for COVID-19 Action Recovery Economic Stimulus, was designed to support states across Nigeria in their recovery efforts following the economic impacts of the COVID-19 pandemic. The Governor emphasized that the programme was not a grant but a loan facilitated by the World Bank. States were required to invest their own resources upfront, with reimbursements being made after the expenditures were verified by the World Bank through a platform provided at the federal level.

“The Federal Government did not give any State money; they were simply the conduit through which the reimbursements were made to States for money already spent,” Governor Makinde stated.

In Oyo State, the NG-CARES initiative has been locally referred to as “Oyo-CARES,” with the state government investing significantly in various areas under the programme. The Governor outlined that Oyo State was reimbursed N5.98 billion in the first instance and N822 million in the second instance, following their investments in the three key result areas of NG-CARES, including the distribution of inputs to smallholder farmers within the state.

He also stressed the importance of understanding that these funds are loans that must be repaid by the states, not grants or handouts. Moreover, the NG-CARES project predates the current federal administration, underscoring its continuity and non-partisan nature.

The Governor urged citizens to seek accurate information and avoid spreading misinformation that could undermine public trust in government efforts.

“We remain committed to transparency and accountability in all our dealings, especially when it concerns the welfare and economic recovery of our people,” he affirmed.