From Agaju Madugba, Katsina
Katsina State Government has dismissed as false, reports that it received N5 billion to purchase foodstuff for distribution to its citizens as palliative to cushion effects of the fuel subsidy removal.
Addressing the press, Commissioner for Information, Malam Bala Salisu Zango, said government received only N2 billion for procurement of grains and described the amount as loan which the state would repay within a period of 12 months.
“It is important to note that the Federal Government planned to spend N5 billion for the procurement of rice, maize and fertilizer to states but the governors insisted that the funds should be released directly to states for the procurement of maize and rice in order to stimulate the local economy, ease distribution process and other logistics associated with the programme.
“Hence, the decision by Federal Government decided to release the money in tranches to states for the procurement of rice and maize. In addition, the Federal Government of Nigeria directed the Central Bank to release the funds to states as a soft loan which the Federal Government will repay 52 per cent and states 48 per cent over a period of 12 months.
“Furthermore, Katsina State government under the leadership of Malam
Dikko Umaru Radda, has already utilised the N2 bilion received and purchased 40,000 bags of rice to be distributed.
“Additionally, His Excellency, the Governor of Katsina State recently directed all local Government Councils in the state to procure and distribute maize to citizens free of charge.”