Nigeria’s Minister of Finance and Coordinating Minister of the Economy, Wale Edun, announced that the significant revenue increase in Nigeria’s 2024 fiscal year is being channeled into social programs to improve citizens’ living standards and address urgent societal issues.
The government’s new social investment program aims to support 60% of the country’s poorest citizens, covering a total of 20 million individuals.
Edun also outlined a comprehensive economic reform plan designed to curb inflation, create jobs, and foster growth in crucial sectors of the economy.
In his Independence Day speech on October 1, 2024, President Bola Tinubu highlighted that government revenue for the first half of 2024 (January to June) reached over ₦9.1 trillion—more than double the ₦4.06 trillion generated during the same period in 2023.
During the Nigeria Economic Summit’s 30th session in Abuja, Edun, speaking on a panel titled ‘Fiscal Reforms for a More Secure Future,’ explained that the increased revenue is primarily directed towards social initiatives to alleviate the impacts of key reforms affecting the cost of living.
The social investment program, he shared, is led by direct cash transfers targeting the most vulnerable, currently assisting four million households or approximately 20 million people.
The initiative is expected to expand to reach 15 million households across Nigeria.
Edun stated, “In terms of revenue, the number one place to look was inwards, domestic resource mobilisation. That’s where the government started. By the first half of this year, revenue had doubled.
“Aggregate government revenue was more than doubled. And that was achieved by applying technology very robustly.
“We have applied technology in a way that essentially reforms the civil service. Rather than waiting for compliance from government ministries, departments and agencies and government companies, we looked at what the rules and regulations were, how much a company was allowed to spend on its revenue, and then how much of its surplus it had to provide to government.
“The social investment programme is spearheaded by direct transfers to reach 60 per cent poorest in the population. And right now, 20 million households are being supported directly. And it’s going to rise to, well, 20 million people, four million households so far, and it will rise to 15 million households who will be paid directly by the government.
“That is how President Tinubu’s government is spending the money which is being yielded from better oil production.”
The Minister also underscored the government’s emphasis on agriculture, manufacturing, oil, and housing as key sectors for economic growth.
“We are looking to food production to help bring down inflation.
“We aim to make food more available, affordable, and to reduce the cost of living for Nigerians,” he said.
According to the Minister, so far, the cash transfer initiative has reached 4 million households, with plans for additional expansion in the coming months.