The Federal Government has acknowledged the detrimental consequences of the naira redesign policy, carried out by the Central Bank of Nigeria from December 15, 2022, to early February this year.

The Minister of Agriculture and Food Security, Senator Abubakar Kyari, raised concerns about the impact of the policy during the budget defense session before the National Assembly Joint Committee on Agriculture.

ALSO READ: FG set to spend N837bn on 2,254 roads, bridges

In his presentation to the joint committee, Minister Kyari highlighted that the naira redesign, coupled with existing challenges like insecurity, has left many farmers bankrupt and severely endangered the country’s food security.

He explained, “The cash crunch caused by the naira redesign made most farmers sell their produce at giveaway prices for survival since buyers couldn’t access cash to purchase the produce from them.”

During the budget defense session, federal lawmakers expressed their worries about the escalating rates of hunger and famine, particularly in rural areas, leading to the deaths of the poor.

Dahiru Haruna from Toro Federal Constituency in Bauchi State and Ademorin Kuye from Shomolu Federal Constituency, Lagos State, emphasized the urgent need for the government to address the critical issue of hunger resulting from insecurity.

Haruna painted a grim picture of the situation, stating, “The pathetic picture of people dying of hunger daily while the majority of those surviving feed once a day.”

ALSO READ: CBN denies plans to redenominate naira in 2024

He also noted the influx of people from neighboring countries seeking food, indicating a potential total famine in the region if not urgently addressed.

In response, Minister Kyari assured lawmakers that all concerns raised would be decisively addressed in the 2024 fiscal year.

He emphasized that food security is a top priority of President Bola Tinubu’s administration, and the ministry has implemented action plans to achieve this goal.

Some of the measures include securing farmlands, certifying planting materials, reviewing fertilizer delivery processes, and fast-tracking the National Agricultural Development fund’s operations.

For the 2024 fiscal year, the Ministry of Agriculture and Food Security has earmarked a total of N362.940 billion, with N124.1 billion allocated specifically for the Ministry.

ALSO READ: Nigeria’s economy and investor confidence affected by naira fluctuations and exchange rate challenges

This allocation breaks down into N10.6 billion for personnel costs, N1.34 billion for overhead, and N112.497 billion for capital expenditure.