COVID-19: FG approves NESP’s N2.3trn stimulus plan for economy

The Federal Executive Council (FEC) has approved the N2.3 trillion stimulus recommended by the Nigerian Economic Sustainability Plan (NESP).

The media aide to the Presidency, Tolu Ogunlesi who disclosed this in his verified official twitter handle said the plan will support the Nigerian Economy in the face of the disruptions and challenges of the Covid-19 Pandemic.

He said it would create jobs, put money into the economy, and hopefully, stop it from slipping into recession, support small businesses and prioritize local content.

“The NESP is a 12 Month ‘transit’ plan between the ERGP and the ERGP-Successor-Plan currently being worked on,” he added.

The Minister of Finance, Zainab Ahmed announced that N500 billion of the stimulus package has been provided in the amended 2020 Appropriation Act and would be funded from special accounts.

“We also have N1.2 trillion of this fund to be sourced as structured low- cost loans, which are interventions from the Central Bank of Nigeria as well as other development parties and Institutions”.

“We have N344 billion that will be sourced from Bilateral and external sources and also additional funds that we can source locally,” Ahmed said.

Ogunlesi also disclosed that the NESP was chaired by Vice President Yemi Osinbajo, and made up of Cabinet Ministers holding consultative meetings with the State Governors, EAC and National Assembly.

Yemi Osinbajo’s Sustainability Committee recommended that the Stimulus be funded through a CBN “structured lending” of N1.1 trillion, N302.9 billion from other funding and N500 billion from special accounts.

The plan also recommended the creation of over 10 million jobs in a 12 months period through a food for all projects hiring 5 million people which will cost N635 billion.

Mass Housing strategy creating 1.8 million jobs, Solar Power strategy expected to create 250,000 jobs, Digital Economy strategy to create 1 million jobs for outsourcing, National gas Expansion Programme to support the creation of 1 million jobs, have all been initiated.

Added to the list is a Road Construction and rehabilitation is projected to create 296,000 jobs in the 6 geo-political zones and a plan to create 774,000 jobs for youths and women post COVID-19.