There are strong indications that contractors owed by the Federal Government for capital projects executed in the 2024 fiscal year may soon begin receiving payments, as members of the House of Representatives say funds could be released as early as this week.
The Federal Government had earmarked N1.8 trillion in the 2026 Appropriation Bill to settle outstanding liabilities, including N1.7 trillion for 2024 capital projects and N100 billion for other debts owed to local contractors.
Lawmakers, who spoke separately, declined to disclose the exact amount expected to be disbursed but expressed cautious optimism that long-delayed payments could finally commence.
The development comes amid mounting pressure on the Federal Government over its failure to clear verified debts owed to indigenous contractors, many of whom have reported severe financial strain after executing projects nationwide.
Leader of the North-West caucus in the House, Sada Soli, confirmed awareness of the planned payments but said details remain unclear.
“I am aware of it (likely payment), but I don’t know how much they’re committing to the implementation of the budget,” said Soli, who represents Jibia/Kaita Federal Constituency in Katsina State.
Similarly, Ikenga Ugochinyere, representing Ideato North/Ideato South Federal Constituency in Imo State, lamented the impact of the delays on constituency projects and lawmakers’ credibility.
“Lawmakers have suffered from delays in paying contractors working on constituency projects, but I have been told certain payments may be made this week. I hope this materialises to help complete development projects across constituencies,” he said.
Also speaking, Terseer Ugbor, who represents Kwande/Ushongo Federal Constituency in Benue State, expressed frustration over repeated assurances that have yet to yield results.
“It’s been failed promises, but we hope contractors will start receiving payments soon. So far, I can’t confirm any payments yet,” he said.
Another lawmaker, who spoke anonymously, said some funds could be released by Friday, although the amount remains uncertain. He urged the Federal Government to clear all outstanding debts to enable the commencement of new projects.
The payment crisis dates back to the 2024 budget cycle, when hundreds of contractors executed capital and constituency-based projects, many linked to zonal intervention initiatives facilitated by federal lawmakers.
Despite completing and, in many cases, delivering these projects, contractors have struggled to receive payment, fueling widespread dissatisfaction.
The situation worsened throughout 2025, as repeated assurances from the Ministry of Finance and the Office of the Accountant-General failed to translate into actual disbursements.
Minister of Finance, Wale Edun, and the Accountant-General of the Federation, Shamseldeen Ogunjimi, had at various times indicated that plans were underway to clear the backlog, but payments did not materialise.
The delays have stalled ongoing and planned projects, while also placing lawmakers under pressure from constituents who blame them for incomplete developments.
Frustration over the unpaid debts spilled onto the streets of the National Assembly Complex, where contractors staged protests in December 2025 and January 2026, accusing the government of neglecting indigenous businesses and pushing many into financial distress after taking loans to fund public projects.
