The Federal Government says it has paid N152 billion to contractors for verified contracts.
The confirmation was contained in a statement issued on Thursday by the Federal Ministry of Finance and shared by presidential aide Dada Olusegun on X.
The confirmation by the federal government comes amid sustained protests by indigenous contractors over alleged unpaid debts running into trillions of naira.
Contractors have accused the government of failing to fully settle obligations for completed capital projects, despite repeated assurances and recent budgetary provisions.
However, the Ministry of Finance said the N152 billion payment followed due verification processes in line with existing financial regulations. It stressed that payments are only made after thorough checks to ensure accountability and protect public funds.
“This is to confirm that the FMF has paid N152bn to contractors for verified contracts.”
“The process of payment for contracts goes through various verification processes in line with extant laws and regulations, to protect taxpayers’ money and ensure accountability and transparency.”
“While the Ministry acknowledges the financial strain the delay in payment has caused contractors, we also plead for continuous dialogue and engagement for effective resolution of all conflicts,” the statement added.
The ministry maintained that although payment delays have created difficulties for contractors, adherence to due process remains non-negotiable in managing public finances.
Indigenous contractors on Monday returned to the streets of Abuja, demanding payment of what they estimate to be about N4 trillion owed by the Federal Government for completed 2024 capital projects. The protest marks the latest in a series of demonstrations over outstanding contract payments.
Contractors claim the debts relate to projects they say were fully executed, inspected, and certified by relevant government agencies.
A similar protest was staged in December 2025, when contractors accused the government of reneging on earlier payment commitments.
In August 2025, the Minister of Finance and Coordinating Minister of the Economy, Wale Edun, disclosed that the Federal Government had settled over N2 trillion in 2024 capital expenditure obligations.
Despite the minister’s disclosure, contractors insist that substantial balances remain unpaid, particularly for indigenous firms with limited access to credit and working capital.
The Federal Government has made fresh budgetary provisions to address contractor debt as part of efforts to calm tensions and resolve lingering disputes.
In the 2026 Appropriation Bill, N100 billion was earmarked under a specific budget line for the payment of local contractors’ debts.
The allocation is intended to support the settlement of verified and outstanding obligations owed to indigenous contractors.
