By Ehichioya Steve Odion
The African Network for Environment and Economic Justice , (ANEEJ) has called for transparency and accountability in the utilization of the $3.35bn SDR allocated to Nigeria by the international Monetary Fund (IMF) in August, 2021.
The organization added that the Board of Governors of IMF approved a general allocation of $650bn Special Drawing Rights in August, 2021 to help boost the liquidity of member countries following the economic crisis caused by the global Covid-19 virus.
This call was made today by the Acting Executive Director of ANEEJ, Comrade Leo Atakpu during a press briefing in Benin City.
The organization said Nigeria got a share of $3.35bn of the SDR Fund, adding that in August, 2021, ANEEJ in partnership with the African Center for Energy Policy (ACEP) commissioned two research studies for an assessment of the utilization of the Special Drawing Rights in Nigeria and Ghana as part of the activities of the implementation of "Tracking Special Drawing Rights Funds and Raising Citizens voices to end crisis in West' supported by Open Society Foundation for West Africa ( OSFWA)".
They said the report has since been published both in Nigeria and Ghana and used for advocacy and engagement with shareholders at various levels.
However, the organization said among other things that the IMF has no clear guideline on how the SDR should be utilized by member countries , hence they are used for sectors in less need of them, just as the SDR are allocated to countries in less need of them. They said it also shows that developed nations in less need of the SDR received much more than developing nations in dire need of the facility for development of critical sections of their economies.
ANEEJ said they also discovered that there was dearth of knowledge around SDR among stakeholders in Nigeria, including the Executive and Legislative arms of government, Civil Society organizations and the Media. Legislative oversight by the legislature according to ANEEJ, was totally lacking.
"Based on this, ANEEJ organized a two- day International Hybrid Conference on 22nd and 23rd of November, 2023 in Abuja. The conference was attended by stakeholders drawn from government, the legislature, Civil Society and the Media. ANEEJ equally organized a two-day Capacity Building Workshop for leaders of Civil Society and the Media on issues of SDRs and debt in the country where participants were equipped with the knowledge of the operationality of SDR in order to popularize the concept among the citizens and be able to join in the advocacy for accountable and transparent utilization of SDRs in the country ".
He also said that in the last 9 months, ANEEJ has involved itself in high level engagement with the IMF, relevant Government Ministries, Agencies and Departments as well as chairmen of relevant committees of the national assembly on the need for open, inclusive, transparent and accountable utilization of the Special Drawing Rights allocated to Nigeria by the IMF.
He however, regretted that the Central Bank of Nigeria has refused to disclose to Nigeria how the SDR was utilized as the custodian of the SDR facility.
ANEEJ has therefore, made some demands which includes, the need for the Central Bank of Nigeria to publish details of the allocation and utilization of the $3.35bn SDR allocated to Nigeria by the IMF and tell Nigerians how it has been utilized, the legislature to exercise their constitutional role of oversight on the CBN and other agencies saddled with the responsibility of debt management in the country, speed up the process of the channeling of SDRs through the African Development Bank for the development of the social sectors like education, health and infrastructure.
ANEEJ however appreciated the approval of the framework for the channeling of the fund and advised that IMF and developed countries should consider the redistribution of IMF quota on 'needs' bases and not on GDP as this would help developing countries cope with the poly crisis they currently face.
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