NAIDA refutes $134m AfDB agric fund fraud claim, assures transparency

The Nigeria Agro Input Dealers Association (NAIDA) has dismissed allegations of fraud and fund diversion in the $134 million African Development Bank (AfDB)-funded National Agricultural Growth Scheme and Agro-Pocket (NAGS-AP), insisting that reported payment delays to agro-dealers are not evidence of misuse.

Reacting to an article by Factsheet.ng, Kabiru Umar Fara, NAIDA President, said no credible evidence had been presented to support claims that Government officials diverted funds intended for suppliers.

“We categorically deny any fraudulent diversion of funds. The assertions remain unsubstantiated and misleading,” he stated.

Fara admitted that some agro-input suppliers are still awaiting payment but attributed the delays to verification procedures, reconciliation of delivery reports, and AfDB’s procurement compliance standards.

He explained that while some suppliers had been paid, others are in the final stages of documentation and auditing.

“Delays do not equate to fraud,” Fara stressed, adding that late submission of documentation by some dealers and banking bottlenecks had also contributed to the situation.

On oversight, NAIDA assured stakeholders that the programme’s finances are subject to strict AfDB monitoring, audit and reporting standards. The Association expressed readiness to cooperate with any investigation backed by credible evidence.

While acknowledging the hardship faced by some dealers, NAIDA emphasised that efforts are underway to fast-track payments and improve transparency.

“NAGS-AP has indicated its readiness to publish a payment schedule, listing suppliers that have been paid, those pending, and reasons for delays,” the statement read.

The Association dismissed reports that the controversy could derail Nigeria’s food security agenda or worsen inflation as “speculative and alarmist,” reiterating its commitment to supporting small-holder farmers and ensuring accountability in the agric input chain.