FG RELEASES N152BN TO CONTRACTORS DESPITE PERSISTENT PROTESTS

By: Fasasi Hammad
The Federal Government has confirmed the disbursement of N152 billion to contractors for verified contracts, even as protests over delayed payments continue.
In a statement on Thursday, the Minister of State for Finance, Doris Uzoka-Anite, said the payments followed strict verification procedures in accordance with existing laws and regulations.
“I wish to confirm that the Federal Ministry of Finance has disbursed a total of N152bn to contractors for verified contracts,” she stated on her X (formerly Twitter) page.
She added, “Every payment undergoes rigorous verification in accordance with extant laws and regulations, ensuring the protection of taxpayers’ funds while upholding accountability and transparency. The Ministry acknowledges the financial pressures caused by payment delays and remains committed to dialogue and engagement to resolve all disputes.”
Local contractors, operating under the All Indigenous Contractors Association of Nigeria, have staged multiple protests since 2025 over unpaid bills for projects executed for the Federal Government. The demonstrations have included blocking the gates of the Finance Ministry and the National Assembly to press their demands.
In December 2025, President Bola Tinubu inaugurated a multi-ministerial committee to address the backlog, with outstanding claims estimated at approximately N1.5 trillion. Members include the Minister of Finance and Coordinating Minister of the Economy, Wale Edun; Minister of Budget and Economic Planning, Atiku Bagudu; Director-General of the Budget Office, Tanimu Yakubu; Minister of Works, Dave Umahi; Minister of Housing and Urban Development, Ahmed Dangiwa; and the Chairman of the Federal Inland Revenue Service, Zacch Adedeji.
The protests escalated on Monday when contractors blocked the Finance Ministry’s gates, preventing Uzoka-Anite from accessing the complex. Reports indicate a scuffle occurred between security personnel and protesters, during which a gunshot was heard.
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According to reports, the Federal Government has allocated N1.7 trillion in the 2026 Appropriation Bill to settle outstanding debts owed to contractors for capital projects executed in 2024. This amount is captured under the line item “Provision for 2024 Outstanding Contractor’s Liabilities,” formally acknowledging the delayed payments.
In addition to this, N100 billion has been budgeted for “Payment of Local Contractors’ Debts/Other Liabilities,” covering legacy obligations or smaller claims not fully verified in the current audit cycle.
The total N1.8 trillion allocation forms part of the broader N23.2 trillion capital expenditure in the 2026 fiscal plan, which aims to accelerate infrastructure delivery while clearing past payment backlogs.
