Nigerian president Muhammadu Buhari gives an interview to Agence France-presse at his hotel during the 25th African Summit on June 14, 2015 in Johannesburg.
Nigerian president Muhammadu Buhari gives an interview to Agence France-presse at his hotel during the 25th African Summit on June 14, 2015 in Johannesburg.

ABUJA, NIGERIA - The Nigerian government plans to make cash payments to poor people of about $25 per month to try to ease poverty and stimulate the economy, the vice president said Thursday. The plan would cost about $300 million per year.

President Muhammadu Buhari won election in March 2015 on a promise to fight poverty and corruption, which has held most of Nigeria's 180 million people in poverty despite its oil wealth.

"One million poor and vulnerable Nigerians would receive 5,000 naira [$25] monthly," Vice President Yemi Osinbajo said in a statement outlining government priorities for the next 12 months.

Nigeria's annual per capita income in 2014 was about $3,200, according to the World Bank.

The government will also employ 500,000 graduates as voluntary teachers while they seek jobs in their chosen careers, he said.

The initiatives were part of Buhari's election campaign. The former military ruler has come under pressure in recent weeks because of fuel shortages. The economy, Africa's largest, is also suffering from the global slump in oil prices.

Osinbajo did not say how these benefits would be funded, saying only that they were part of a record 6.06 trillion-naira budget for 2016 that parliament passed last month. Buhari still has to sign the bill.

The government has said it wants to borrow as much as $5 billion abroad but has not detailed how it wants to plug a budget deficit estimated at 2.2 trillion to 3 trillion naira.

Buhari has rejected a devaluation of the naira, which would hit poor people, since Nigeria needs to import much of its food.