The Central Bank of Nigeria has clarified that the recent donation of fertilizer to farmers does not signify the introduction of a new intervention. This information was disclosed in a statement published on the bank’s website on Saturday.
According to the statement, the fertilizer donation is utilizing the remaining stock from previous agricultural interventions conducted by the bank. By distributing these fertilizers to farmers, the CBN aims to prevent wastage and actively contribute to national food security efforts.
The primary objective behind this initiative is to stabilize food prices amidst the growing challenge of food inflation. The CBN explained that the decision to channel the fertilizer donation through the Ministry of Agriculture and Food Security aligns with its core mandate of ensuring monetary and price stability.
As part of its realignment strategy, the CBN has shifted away from direct involvement in development finance interventions. Instead, it now collaborates with competent organizations like the Federal Ministry of Agriculture and Food Security, which possess the necessary expertise and capacity to intervene effectively.
This partnership underscores the commitment of both the CBN and the Ministry to address food inflation and promote a sustainable agricultural sector in Nigeria. Farmers can expect timely access to fertilizers, which will enhance crop yields and contribute to overall economic stability.
In the statement, the CBN emphasized, “The Central Bank of Nigeria has not initiated any new intervention but has rather donated fertilizers from the remnants of its stock, which were blended under its previous interventions in the agricultural sector. These fertilizers are now being donated to farmers across the country through the Federal Ministry of Agriculture and Food Security. This decision is aimed at supporting domestic agricultural production rather than allowing the fertilizers to remain unused and go to waste. We anticipate that the fertilizers will ultimately support our overall objective of price stability, which is being challenged by rising food inflation. As stated by the Governor of the Central Bank of Nigeria on several occasions, the CBN is realigning its focus towards its core mandate of ensuring monetary and price stability, thus stopping its direct involvement in development finance interventions. The CBN will, however, support relevant organizations that possess the expertise and capacity to intervene directly.”
