Madam Chairperson,
The President of IFAD,
Fellow Governors and Delegates,
Distinguished Ladies and Gentlemen

I am indeed delighted to address the IFAD Governing Council at this Session. Before I proceed, let me congratulate most warmly, the newly elected President of IFAD, and wish him a most successful and fulfilling tenure. The expectations of member nations are understandably high. My delegation fervently hopes that you will be able to meet these challenges. As for the outgoing President, Mr. Al Sultan, the Nigerian delegation joins other delegates to commend him for the very good work he has put in for his organization. We wish him success in his future endeavours.

Madam Chairperson, the 24^th Session of the Governing Council is of special significance. Apart from making the successful completion of the tenure of the out-going President and the election of his successor, it will witness the conclusion of yet another round of Resource Replenishment exercise, the 5^th Replenishment. In general, my delegation is quite satisfied with the outcome of the Consultation to review the Adequacy of Resources available to IFAD; we are however concerned about the quantum of resources earmarked for IFAD’s core activities. We wish it were higher in order to enable IFAD carry our its mission and mandate of addressing the pervasive problem of rural poverty and household food insecurity facing developing countries more aggressively. The deteriorating economic conditions in many developing countries especially in sub-Saharan Africa has left a heavy toll on the rural hungry poor. Agriculture, which is the main stay of the economy of these countries, has been adversely affected by natural and man-made calamities, in some cases, self-inflicted.

The problem is further compounded by the debt overhang, which weighs these countries down, as well as unfair trade practices and falling commodity prices. Madame Chairperson, it is against this discomforting trend that my Delegation is worried that the resources available to IFAD continue to decline. I therefore wish to urge member States, especially the more endowed ones, to demonstrate greater commitment to this young but great institution, IFAD. With specific reference to my own Country, Nigeria, we have continued to demonstrate high level of moral and financial support to IFAD in spite of our daunting economic difficulties. Apart from forwarding the instrument of contribution to the 4^th Replenishment in the sum of USD 5 million, we have also pledged USD 5 million to the 5^th Replenishment. Al these commitments are in realisation f the vital role IFAD plays and can still play in the global effort on poverty eradication.

Madam Chairperson, my delegation has no hesitation in supporting the corporate strategy for 2001 articulated by IFAD along five strategic thrusts. In particular, the emphasis on increasing beneficiary participation as well as the regional allocation of loans and grants deserves commendation. We are however concerned about the proposal to reduce the number of field projects from 29 in 2000 to 27 in 2001, given the rising incidence of rural poverty in the third World.

Madame Chairperson, my delegation fully supports the continued participation of IFAD in the Heavily Indebted Poor Countries (HIPC) Debt Initiative, hoping that the participation in this global initiative will not erode the ability and effectiveness of the Fund in the execution of its key programmes, including loans and grants. Capital flight from the developing countries arising from debt servicing still constitutes a serious impediment to development and unless bold and pragmatic initiatives are taken to ameliorate the situation by granting some level of loan forgiveness to the affected countries, the needed resources for economic growth will continue to elude the heavily indebted poor countries.

Madam Chairperson, the Federal Government of Nigeria has at its first priority, the pursuit of poverty eradication. The measures being employed in this pursuit are to empower Nigerians to be more economically productive, with a view to improving their quality of life. The measures are people oriented. A Poverty Eradication Commission has been created, with Mr. President himself as a Chairman, to coordinate the various poverty eradication programs of the country. The major aspects of the programs planned to address the twin problems of low economic growth and high poverty incidence include job creation, provision of micro credit, improved access to markets and agricultural inputs as well as the modernisation of farming practices, among others. Relevant institutional structures have also been put in place to support the implementation of the various Poverty Eradication Programs. One of such institutions is the newly constituted Nigerian Agricultural Cooperative and Rural Development Bank (NACRDB) which is designated to address the credit needs of agriculture in particular and poverty alleviation in general. The other is the National Agricultural Development Fund.

Madam Chairperson, in conclusion, permit me to turn to the Election of the President of IFAD. For the first time in the history of IFAD, the Gentlemen Agreement, which has guided the election of the President of IFAD from List B, appears to have been set inside. This is indeed a regrettable precedent, which has implications for the governance role of the OPEC Members States of the Fund. Madam Chairperson, as the Convenor for List B, my delegation is strongly of the view that nothing more should be done to weaken the governance role of our category. We note that not long ago, the number of seats in the Executive Board originally allocated to the OPEC Members States of IFAD at the inception of the Fund, was reduced in favour of the other lists in the hope that it would encourage contribution by the other lists and make future Replenishments easier and more predictable. We look forward to the full realisation of this objective. The unique features of IFAD as an International Finance Institution in whose governance the developed and developing countries play a major role should be maintained and in fact enhanced. It is equally important to stress the focus, mandate and specificity of IFAD must remain undiluted.

I thank you for your kind attention.

Statement by the head of Nigerian Delegation,
Honourable Minister of State for Agriculture and Rural Development,
Chief Chris Agbob