Reps probe management of N12 trillion DFI fund

From Ndubuisi Orji, Abuja

The House of Representatives has commenced a probe into the management of N12 trillion injected into Development Finance Institutions (DFI) in the country in the past seven years.

The chairman, House Ad-hoc Committee investigating the operations, funding, and performance of the DFIs, Chidi Obetta, said the probe will unravel how public funds injected into the DFIs to drive industrialisation, agricultural development, small and medium enterprise empowerment, and infrastructural growth have been utilised.

Obetta, who spoke at the inauguration of the panel, on Wednesday, said reports indicate that financial inflows, including government capital injections, budgetary appropriations, bond issuances, concessional loans, and donor funding, are in excess of N12 trillion.

Therefore, he stated that an investigation into the management of the funds has become imperative, owing to rising public concern over the transparency, impact, and accountability of the institutions.

According to him, “Institutions such as the Bank of Industry (BOI), Bank of Agriculture (BOA), Nigeria Export-Import Bank (NEXIM), Infrastructure Bank, Nigeria Incentive Based Risk Sharing System for Agricultural Lending (NIRSAL), the Development Bank of Nigeria (DBN) and others have been pivotal in our nation’s economic strategy.

“However, in recent years, there have been persistent questions about the impact, accountability, and overall performance of these institutions, particularly concerning the utilization of public funds, the accessibility of their credit facilities, and the transparency of their operations.”

Consequently, the lawmaker noted that the panel, in the course of its assignment, would be seeking to ascertain “how funds allocated to DFIs have been managed and applied, the guiding criteria used in selecting beneficiaries and implementing programs, the extent to which these funds have reached the businesses, sectors, communities and citizens they are intended to support,” amongst others.

He explained that “in carrying out this assignment, the Committee will adopt an open, transparent, and evidence-based approach. We shall engage extensively with key stakeholders, including the management of the various DFIs, the Central Bank of Nigeria, the Federal Ministry of Finance, Budget and National Planning, relevant development partners, industry experts, and beneficiaries of DFI interventions.

“Our guiding principles will remain objectivity, diligence, fairness, and patriotism. We intend to ensure that every recommendation emerging from this investigation is both practical and implementable, capable of driving real change in the way our Development Finance Institutions operate.”