World Bank releases $750m to strengthen SFTA programme in states
The World Bank has released $750 million to further drive the States Fiscal Transparency, Accountability and Sustainability (SFTAS) programme in Nigeria.
Minister of Finance, Budget and National Planning, Mrs. Zainab Ahmed, who disclosed this yesterday, said that the World Bank gesture aimed at supporting the states through the provision of performance-based grants.
To give a boost to the funds released by the World Bank, the National Steering Committee for the States Fiscal Transparency, Accountability and Sustainability (SFTAS) Programme-for-Results was inaugurated to review states’ performances with regards to how the money is spent.
Ahmed, while inaugurating the 17-man committee, said that from this amount, $700 million had been earmarked for the programme while the balance of $50 million would be for the financing of technical assistance to enable the states achieve specified Disbursement Linked Indicators (DLIs) towards qualification for the grants.
According to her, the move aimed at strengthening the desired fiscal reforms at the sub-national level and participation in the programme is open to all states of the federation, including the Federal Capital Territory (FCT).”
The National Steering Committee (NSC) is expected to give strategic direction to the PCU and ensure the smooth implementation of the Programme.
In his address, Permanent Secretary, Special Duties of the Federal Ministry of Finance, Mr. Aliyu Ahmed, stated that the Federal Government introduced the Budget Support Facility (BSF) in the form of soft loans to enable the states finance their capital budget.
All the states, he said, participated in the programme, except Lagos State.
He said that to realise the objectives of the BSF programme, releases to the states were based on their fulfillment of 22 Point Action Plan targeted at strengthening states’ fiscal transparency, as well as improving revenue generation and management of expenditure.
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