The Federal Government has disbursed N152bn to contractors for verified contracts, amid lingering protests over outstanding payments.
The Minister of State for Finance, Doris Uzoka-Anite, in a statement on Thursday, said the payments followed strict verification procedures in line with existing laws and regulations.
She said the Federal Ministry of Finance was aware of the financial strain contractors had faced due to payment delays and pledged that the ministry would continue to process all valid payment requests.
In a post on X, Uzoka-Anite said, “I wish to confirm that the Federal Ministry of Finance has disbursed a total of N152bn to contractors for verified contracts.”
“Every payment undergoes rigorous verification in accordance with extant laws and regulations, ensuring the protection of taxpayers’ funds and upholding accountability and transparency.
“The Ministry acknowledges the financial pressures that delays in payment may have placed on contractors. We remain committed to continuous dialogue and engagement, seeking effective resolutions to all conflicts”, the statement read.
Recall that local contractors, under the umbrella of the All Indigenous Contractors Association of Nigeria, had in 2025 protested the reported backlog of unpaid bills for projects executed for the federal government.
The protesters recently blocked the gates of the finance ministry and the National Assembly complex to press their demands.
The situation degenerated into a scuffle between security operatives attached to the minister and the protesters, during which a gunshot was reportedly heard as security personnel attempted to disperse the crowd.
The Federal Government had budgeted N1.7tn in the 2026 Appropriation Bill to settle outstanding debts owed to contractors for capital projects executed in 2024.
In addition to the N1.7tn for 2024 liabilities, the government also budgeted N100bn for a separate line item labelled “Payment of Local Contractors’ Debts/Other Liabilities”, which may cover legacy debts from previous years, smaller contract claims, or unsettled financial commitments that were not fully verified in the current audit cycle.
The total N1.8tn allocation is part of the broader N23.2tn capital expenditure in the 2026 fiscal plan, which seeks to ramp up infrastructure delivery while cleaning up past obligations.