Reps summon Finance, CBN, and Budget Chiefs over delayed contractor payments

The House of Representatives has summoned senior financial officials of the Federal Government regarding the ongoing delay in paying contractors for verified projects completed since 2024.

Those required to appear include the Minister of Finance and Coordinating Minister of the Economy, Wale Edun; Minister for Budget and Economic Planning, Senator Atiku Bagudu; Governor of the Central Bank, Dr Yemi Cardoso; Accountant General of the Federation, Babatunde Ogunjimi; and the Auditor General for the Federation, Mr Shaakaa Chira.

The decision was made by the lawmakers following the adoption of a motion moved by Hon Ezechi Nnamdi, representing Ndokwa/Ukwuani Federal Constituency of Delta State, during Thursday’s plenary session. Leading the debate on the motion, Nnamdi voiced significant concerns over the Federal Government’s failure to settle contractors across Ministries, Departments, and Agencies (MDAs) for completed and certified projects since October 2024, despite adequate capital allocations in the 2024 Appropriation Act.

He noted that capital releases to MDAs for the 2024 budget have remained below 50 per cent, a situation that, according to him, has led to the abandonment of critical infrastructure projects, financial difficulties for contractors, and disruption to economic activities.

“The non-payment of contractors has not only stalled the implementation of constituency projects but has also eroded public confidence in the government’s ability to honour its commitments,” Nnamdi asserted.

He further cautioned that the delay has led to job losses, disrupted community development initiatives, and posed a risk of triggering protests and legal actions that could hinder the execution of public sector projects.

In response, the House resolved to summon the relevant officials to appear on Tuesday, 13 May 2025, to explain the reasons behind the delays and outline a clear plan for settling all verified outstanding payments.

Additionally, the House mandated its Committees on Public Accounts and Budget and Economic Planning to conduct a joint investigation into the recurring lapses in fund disbursement for contractor payments. The committees are tasked with examining accountability failures within the MDAs involved in the payment processes and are expected to report back to the House within four weeks with their findings and recommendations for legislative action.