HomeNewsReps signal imminent payments on N1.8trn contractor debt

Reps signal imminent payments on N1.8trn contractor debt

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KEY POINTS


  • House of Representatives members say the FG could release contractor debt payments this week, drawing from a N1.8 trillion 2026 budget allocation
  • The backlog covers capital and constituency projects executed during the 2024 budget cycle, with contractors waiting through 2025 despite repeated official assurances
  • Aggrieved contractors staged protests at the National Assembly Complex in December 2025 and January 2026

Members of the House of Representatives say the Federal Government could release part of its N1.8 trillion contractor debt payments as early as this week, as pressure mounts over unresolved obligations from the 2024 budget cycle.

The Federal Government earmarked N1.8 trillion in the 2026 Appropriation Bill to settle outstanding contractor liabilities, comprising N1.7 trillion for 2024 capital projects and N100 billion for other local contractor debts.

Lawmakers cite toll on constituents and project delivery

Sada Soli, leader of the North-West caucus and representative of Jibia/Kaita Federal Constituency in Katsina State, confirmed awareness of the planned release. “I am aware of it, but I don’t know how much they’re talking and committing to the implementation of the budget,” Soli said.

Also, Ikenga Ugochinyere, who represents Ideato North/Ideato South Federal Constituency in Imo State, cited the toll of delayed contractor debt payments on lawmakers’ standing with constituents. “Lawmakers have faced delays in paying contractors for constituency projects, but I expect certain payments to go out this week,” Ugochinyere said.

Still, Terseer Ugbor, who represents Kwande/Ushongo Federal Constituency in Benue State, said repeated official assurances have yet to result in actual disbursements. “It’s been failed promises, but we hope contractors will start receiving payments soon. So far, I can’t confirm any payments yet,” Ugbor said.

Protest and pressure mark two years of stalled disbursements

However, an unnamed lawmaker said the government might release some funds as early as Friday. “Some amounts of money may be released on Friday, but no one knows how much it is, for now,” the lawmaker said.

Meanwhile, the payment crisis dates to the 2024 budget cycle. Hundreds of contractors delivered capital and constituency projects but struggled to receive payment throughout 2025, despite assurances from Finance Minister Wale Edun and Accountant-General Shamseldeen Ogunjimi.

Furthermore, aggrieved contractors staged protests at the National Assembly Complex in December 2025 and January 2026, carrying placards and accusing the government of neglecting indigenous businesses that had taken loans to fund public projects. The delays also placed lawmakers under intense pressure from constituents across the country.

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