In a recent development, the Home Finance Department of Nigeria’s Ministry of Finance, Budget, and National Planning has received a substantial sum of $5.6 million from the World Bank. The funds are earmarked for the procurement of 21 items, including office stationeries, furniture, solar inverters, office equipment, and vehicles.
The allocation falls under the State Fiscal Transparency, Accountability, and Sustainability (SFTAS) project, initiated in 2018. Despite the project officially concluding in 2022, ongoing implementations continue, as confirmed by a document obtained from the World Bank.
The SFTAS project, designed to enhance transparency and accountability at the sub-national level, received a total commitment of $1.5 billion in two installments of $750 million each, delivered in December 2018 and December 2020.
While the funds are granted to state governments, they constitute a loan to the Federal Government. The World Bank’s Procurement Guidelines govern the procurement plan for the project, covering the period from February 2019 to August 2020.
Key allocations from the procurement plan include $25,713 for office stationery and supplies, $39,357 for additional office equipment and supplies for the SFTAS Programme Coordinating Unit, and $64,190 for furnishing and equipping the SFTAS Public Service Institute space.
The Home Finance Department also secured $4.78 million for the provision of spatial data to states, while $409,638 was allocated for the procurement of project vehicles for the Programme Coordinating Unit and an independent verification agent.
Despite the significant allocations, the document revealed that out of the 21 proposed items, two were cancelled, four completed successfully, and one was under implementation. Additionally, three were pending implementation, and 11 projects were only signed as of December 2023.
In a broader context, the World Bank recently disclosed that Nigeria was the top recipient of its loans in 2022, receiving approximately $2.9 billion. The country is currently servicing about $14.12 billion from 108 approved loans, ranging from the oldest loan approved in 1989 under Gen. Ibrahim Babangida to the most recent one in 2018 under the administration of former President Muhammadu Buhari.
The SFTAS’ Communications Specialist, Ibrahim Mohammed, clarified that the procurement of items was a routine procedure to ensure the successful implementation of the project. These acquisitions, including furniture, ICT infrastructure, and others, are designated for the use of the project office situated in the Home Finance Department of the Ministry of Finance. The funds also cover technical assistance provided by consultants to the states involved.
