Contractors debunk FG’s N700bn claim, resume protest at Finance Ministry

By Progress Godfrey

ABUJA — On Monday, contractors affiliated with the All Indigenous Contractors Association of Nigeria (AICAN) denied claims that the Federal Government had disbursed N700 billion to their members, stating that the majority of outstanding payments remain pending.

The group resumed its protest outside the Federal Ministry of Finance headquarters in Abuja, citing continued delays in payments for projects carried out in 2024.

During the demonstration, AICAN National President Jackson Nwosu said that roughly 85 percent of contractors had not yet received payment, despite assurances from government officials.

Nwosu explained that the association had previously met with the Ministry of Finance and the Office of the Accountant General, where they were informed that an initial release of about N40 billion would be made to settle accounts.

He added that contractors had submitted verified payment documentation across various categories and expected the funds to be disbursed by the previous Friday, but that did not occur.

“We were expecting payments to reflect in beneficiaries’ accounts by Friday, but that did not happen. Only a few persons have received payments,” he said.

Nwosu accused the government of failing to fully honour agreements reached with contractors, noting that many had taken loans to execute projects and are now under financial pressure.

National Secretary of AICAN, Babatunde Seun, also questioned reports of a N700 billion disbursement, saying members had not seen evidence of such payments.

“We came out because of reports that N700 billion had been approved. Many contractors are still unpaid,” he said.

Seun called for the full payment of completed projects and highlighted that delays in processing warrants across Ministries, Departments and Agencies are worsening the backlog.

Responding to the protesters, Permanent Secretary (Special Duties) of the Ministry of Finance, Mohammed Sanusi, said that approval of funds does not automatically translate to immediate payment.

He said the government was working through outstanding liabilities and that disbursement processes are ongoing.

“Approval is different from payment. We are working on contractors’ payments,” he said.

Sanusi added that N700 billion had been approved for contractors, alongside an additional N70 billion for payments to the association, assuring that disbursements would begin soon.

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