Buhari’s govt owing contractors N1.5trn, Umahi confirms

The Ministry of Works has established a committee investigating the N1.5 trillion debt the federal government owes to contractors.

According to a statement by Minister of Works Sen. David Umahi, six committees, each representing a geopolitical zone, will examine certified certificates generated before May 29th, 2023, and those from May 29th, 2023, to the present.

The committees will also assess approved and unapproved variations of prices, as well as all augmentations, and provide recommendations to the Ministry's management.

A statement by the Ministry signed by Umahi says: “The Ministry has exposed these debts and all reviews in the Ministry to Mr. President’s economic team and also to the Federal Executive Committee on road sector funding.

"It is believed that the internal works through these constituted committees will help them to use external consultants to re-verify the works so that concrete decisions will be made to move the Ministry forward.”

Minister confirms debt owed by Buhari's govt Minister Umahi acknowledged the substantial debts from unpaid certificates inherited from the previous administration and emphasised the need for contract reviews due to inflation.

Contractors are urged to present their claims with supporting documents to the committees between December 12th and December 22nd, 2023, at the Minister's Conference Room in Abuja.

Additionally, Minister Umahi expressed the necessity for increased attention to the road sector beyond the 2024 budget, thanking President Bola Ahmed Tinubu for approving concrete pavement in many 2024 projects.

As reported by Daily Trust, he said: “For a developing nation like Nigeria, road sector development is a catalyst for economic development.

The road sector has the potential to improve the security sector, agricultural sector, trade and investment, health, education ,and, in fact, every aspect of the development of every nation.”

He further stated that the Ministry is committed to advancing road infrastructure in alignment with the Renewed Hope agenda.