Nigeria’s latest audit has revealed that the Central Bank of Nigeria (CBN) failed to recover N629.04 billion loaned out under the Anchor Borrowers’ Programme (ABP), raising concerns about transparency, accountability, and the sustainability of the agricultural intervention scheme.
According to the audit drawn from the bank’s 2022 financial statements and recently submitted to the National Assembly, the outstanding balance from ABP stood at N629.04 billion as of December 31, 2022. This figure represents funds disbursed to “unknown beneficiaries” without an adequate record of who received the funds or verification of repayments.
Auditors flagged “significant discrepancies and gaps” in how the ABP was managed across the country. They described the situation as symptomatic of “weaknesses in the internal control system” at the apex bank, a failure that, according to the report, threatens the effectiveness of ABP in achieving its core objective: boosting agricultural production and ensuring food security.
In response, the CBN acknowledged that some loans had been restructured over time due to external factors, notably flooding and disruptions from the COVID-19 pandemic. In addition, the bank said that in 2023 it converted certain outstanding loans owed by commodity associations into zero-coupon convertible debentures, offering beneficiaries more time and flexibility for repayment.
Nevertheless, auditors deemed these explanations “unsatisfactory,” noting that there was no evidence of robust recovery efforts or proper disclosures. Until the missing funds are recovered and remitted back to the federal treasury and the bank provides verifiable documentation, the findings remain valid and enforceable.
The audit further urged the relevant parliamentary oversight bodies to compel the CBN governor to account for the funds and ensure recovery. It also called for sanctions against responsible officials under financial regulations should the bank fail to comply.
The failure to recover N629 billion from ABP, a programme central to Nigeria’s drive to expand farming, support smallholder farmers, and stabilise food supply, threatens not only fiscal discipline but also public confidence in government intervention schemes. Without adequate accountability, funds meant to enhance food production risk being misused or diverted, undermining the original purpose of the ABP.