House of Reps Investigates Billions Spent On Agriculture Amidst Rising Food Prices

The House of Representatives has launched an investigation into how government intervention funds and agricultural financing were utilized by various ministries, departments, and agencies between 2017 and 2024.

The House Committee on Nutrition and Food Security has commenced a public hearing to scrutinize the allocation and management of intervention funds disbursed by key institutions, including the Central Bank of Nigeria (CBN), Bank of Industry, National Agricultural Development Fund, and several others.

Committee Chairman, Chike Okafor, emphasized that the hearing is not a witch-hunt but an effort to ensure transparency, uncover systemic failures, and confirm whether public funds intended for agricultural development were effectively utilized.

Okafor expressed concern over Nigeria’s persistent food shortages, soaring prices, and malnutrition, despite the substantial budgetary allocations for agricultural programs.

He stated that if the funds had been properly utilized, the country would not be facing its current food crisis, where millions struggle to afford basic meals.

The investigation will focus on:

● Unravelling how Central Bank of Nigeria, through the Anchor Borrowers Program, disbursed about 1.12 trillion naira to 4.67 million farmers involved in either maize, rice or wheat farming through 563 anchors.

● How Nigeria Incentive-Based Risk Sharing System for Agricultural Lending (NIRSAL) disbursed 215 billion to facilitate agriculture and agrobusinesses.

The Committee urged stakeholders to provide full cooperation, ensuring transparency in how public funds were used. Agencies were asked to submit details on:

● Funds received by the bank from the federal government, other agencies, or intervention schemes

● Name, addresses, and contact persons of relevant donor partners collaborating with the bank

● Name, addresses, and contact details of anchors who disbursed funds for the Anchor Borrowers Program to millions of farmers involved in either maize, rice or wheat farming

● Other agricultural related loans disbursed within the period under review

● List of beneficiaries according to states and geopolitical zones

● Terms and conditions of the loans, including recovery plan, where necessary

● Performance of the Bank in achieving food security and nutrition

● Key food security activities/programmes, including projects undertaken or ongoing either separately or in collaboration with other partners with date, venue, beneficiaries and possible cost implication, etc

● Projected activities, programmes, and projects for the 2025 fiscal year with date, venue, sources of funding, and cost estimate in relation to enhancing food security and nutrition.

The Central Bank Governor, Olayemi Cardoso, represented by Acting Director Kwasari Harman, informed the committee that ₦1.21 trillion and an additional ₦871 billion had been disbursed to commercial banks under the previous administration’s Anchor Borrowers scheme.

However, several government agencies failed to attend the investigative hearing. The Committee has now warned that it may issue warrants of arrest against any absent officials who refuse to explain their roles in the Anchor Borrowers Scheme and other federal agriculture programs.