- the committee’s goal is to determine whether the funds have reached their intended beneficiaries
- He explained that the investigation was driven by public demand for accountability
- He added that the figure would be verified through the submission of audited financial records
The House of Representatives has begun an investigation into the alleged mismanagement of over ₦12 trillion disbursed to Nigeria’s Development Finance Institutions (DFIs) over the last seven years.
Eko Hot Blog reports that the probe follows the inauguration of an ad hoc committee on Wednesday to review the operations, funding, and performance of the DFIs amid rising public concerns about their transparency and effectiveness.
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Chairman of the committee, Hon. Chidi Obetta, said the inquiry would assess how the huge funds released to the DFIs established to promote industrialisation, agriculture, SMEs, and infrastructure were utilised.
According to Obetta, preliminary checks show that capital injections, budgetary allocations, bonds, concessional loans, and donor funds channelled to these institutions have surpassed ₦12 trillion.
He added that the figure would be verified through the submission of audited financial records and detailed expenditure statements from the DFIs.
He explained that the investigation was driven by public demand for accountability and measurable outcomes from institutions meant to bridge financing gaps in key sectors.
The DFIs under review include the Bank of Industry (BOI), Bank of Agriculture (BOA), Nigeria Export-Import Bank (NEXIM), Development Bank of Nigeria (DBN), Infrastructure Bank, and the Nigeria Incentive-Based Risk Sharing System for Agricultural Lending (NIRSAL).
Obetta said the committee’s goal is to determine whether the funds have reached their intended beneficiaries and contributed to job creation, industrial expansion, and economic growth. He described the process as reform-oriented, aimed at enhancing efficiency and transparency in the institutions.
The committee will engage DFI management teams, the Central Bank of Nigeria (CBN), the Ministry of Finance, development partners, and beneficiaries to ensure a transparent and evidence-based process.
Speaker of the House, Hon. Tajudeen Abbas, represented by Deputy House Leader, Hon. Halims Abdullahi, expressed concern over the DFIs’ poor performance despite massive public funding. He attributed the failures to weak transparency, political interference, and conservative lending policies.
Abbas warned that the House would no longer approve allocations for any DFI that cannot demonstrate financial responsibility and tangible developmental results.
Representing the CBN Governor, a Director, Ibrahim Hassan, assured lawmakers that the apex bank would support the committee’s investigation, stressing that DFIs are regulated to maintain prudential and financial standards.
Managing Director of NEXIM Bank, Abba Bello, welcomed the probe, describing it as timely. He said DFIs must justify their existence by contributing meaningfully to national development through job creation and industrial growth.
The ad hoc committee is expected to submit its findings and recommendations to strengthen accountability, ensure effective utilisation of funds, and enhance the impact of DFIs on Nigeria’s economic development.
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