FG moves to clear outstanding debts to indigenous contractors, promises structured payment plan

The Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, has engaged local contractors in a bid to address outstanding federal government obligations, assuring that verified debts will be settled in a fair, transparent and structured manner as part of ongoing efforts to stabilise the economy and restore public confidence.

Oyedele gave the assurance during a high-level meeting with representatives of the All-Indigenous Contractors Association of Nigeria in Abuja, where he said resolving the obligations was critical not only for contractors but also for job creation, business continuity and overall economic stability.

He said the government would handle the process with careful balance between fiscal constraints and the need to honour legitimate commitments, stressing that ongoing reforms were necessary but would be implemented with consideration for stakeholders to avoid unnecessary disruption.

“The government recognizes the critical role local contractors play in infrastructure development and economic growth. We are determined to resolve all outstanding issues through structured engagement within the framework of fiscal responsibility,” he said.

According to a statement issued by the Ministry’s Head of Information and Public Relations, Efe Ovuakporie, the discussions focused on unpaid capital project obligations, contract variations, and the need for a clear verification and payment framework.

Oyedele noted that the Federal Government was working with relevant institutions to reconcile outstanding claims and design a sustainable payment structure that reflects current fiscal realities while ensuring accountability.

Representatives of the contractors commended the minister for initiating the engagement and expressed optimism that the dialogue would lead to practical solutions to long-standing payment issues affecting project execution nationwide.

They also pledged cooperation with the government to ensure timely delivery of infrastructure projects.

The meeting had in attendance senior officials of the Finance Ministry, including the Permanent Secretary, Federal Ministry of Finance, Raymond Omachi; Permanent Secretary, Special Duties, Mohammed Sanusi Danjuma; and the Accountant-General of the Federation, Shamseldeen Ogunjimi, alongside directors in charge of cash management and funds.