Why We Implement Digitalized Cash Transfer Payments – Federal Government Opens Up

By Adeleye Kunle

According to the Federal Government, the introduction of digitalized cash transfer payments will aid in addressing some flaws in the analog payment system, TrackNews Reports
Sadiya Umar Farouq, Minister of Humanitarian Affairs, Disaster Management, and Social Development, made the announcement at the official launch of the grant for vulnerable groups as well as the digitized payment for conditional cash transfer in Dutse, Jigawa State.

She explained that one of the program’s flaws was the use of an analog payment system, which caused delays in the payment process.

According to the Minister, the purpose of the exercise is to make room for a dependable, transparent, and accessible database for seamless disbursement to Conditional Cash Transfer recipients.

“It is a point-of-sale (POS) process of transferring cash grants to beneficiaries to ensure accountability and transparency.”

According to the minister.

The minister, on the other hand, explained that the Federal Government had also launched the Grant for Vulnerable Groups (GVG) program to support President Buhari’s Administration’s social inclusion agenda.

“It is intended to provide a one-time N20,000 grant to some of the poorest and most vulnerable Nigerians in rural and peri-urban areas across all 36 states of the Federation in order to improve their productivity and commercial activity, all of which will contribute to their emancipation from poverty.”

“In Jigawa State, the grant will be distributed to 4,537 beneficiaries across 27 Local Government Areas, with women receiving 70% of the total number of beneficiaries and youth receiving 30%.”

“It is consistent with the national goal of lifting 100 million Nigerians out of poverty within the next ten years.”

The minister also urged all grant recipients to use their funds wisely in order to combat poverty, which is currently the most pressing development challenge.