The Governor of the Central Bank of Nigeria, Godwin Emefiele, has challenged 36 state governors in Nigeria to invest more in agriculture, particularly crops in which they have comparative advantage, and reduce their dependence on allocations from the Federation Account.
Emefiele made the call in Port-Harcourt on Thursday, May 27, 2021 at the launch of the Rivers Cassava Processing Company Limited, which is designed to support improved production and processing of cassava into high quality flour in Rivers State.
He said the CBN would no longer support the continued importation of items that can be produced in Nigeria, but would be willing to collaborate with states to enhance the development of a viable agricultural and manufacturing sector in line with its mandate of promoting economic growth.
“With the decline in our foreign exchange earnings, we can no longer afford to support continued importation of items that can be produced in Nigeria.
“Our current situation has also made it imperative for the Central Bank to work towards supporting programmes that will enable greater cultivation and processing of key agricultural commodities in Nigeria,” Emefiele declared.
Emefiele enjoined agencies of government at the federal and state level to continue to work hand in hand towards diversifying the Nigerian economy thus creating an enabling environment for further investment by firms such as the Rivers Cassava Processing Company.
He identified land development as a major constraint to increase in agricultural activities in the southern parts of the country due to its topography, but said that the apex bank had partnered with several state governments in the region under the Accelerated Agricultural Development Scheme (AADS).
The CBN Governor said about N7.436 billion had been accessed by four states in the South-South region to open up more land for cultivation, create access roads to agricultural lands, and provide infrastructure, among other support services in the region.
“These measures are helping to induce greater activity in the agricultural sector and are enabling the movement of goods from farm to factories, and to the markets,” he added.
He commended the Rivers State government, working with Shell Petroleum Development Corporation, the Dutch Embassy Investment Nigeria Limited and their technical partners, for setting up the integrated facility.
He noted that investments such as the cassava plant could help in driving economic growth, reducing unemployment and inducing other wealth-creating activities in the state.
Emefiele further noted that the emergence of the Nigerian economy from the recession in the fourth quarter of 2020, and the recent report that the economy continued to experience growth in the first quarter of 2021, was due to significant growth in the agricultural and manufacturing sectors.
In his remarks, the Rivers State governor, Nyesom Wike, invited farmers and other interested individuals to key into the development programmes of the state, particularly in agriculture, as the state is ready to divest its 80 per cent share holdings to ensure proper management of the facility.
Wike also appealed to youths to channel their energy towards productive sectors of the economy rather than waiting for stipends from God knows where.
Minister of Agriculture, Muhammad Sabo Nanono, promised to supply free cassava seedlings to farmers in the area.