The Centre for Economic Justice and Social Equity (CEJSE) has called on the Federal Government to urgently address the prolonged delay in settling payments owed to contractors who have completed verified government projects across the country.
In a statement signed by its president, Dr. Ibrahim Okehi Omeiza, and released on Tuesday, the group expressed deep concern over the economic impact of the outstanding payments, noting that the situation is putting strain on small businesses, threatening jobs, and weakening public-private partnerships.
“Contractors are vital contributors to national development. They build, provide essential services, and employ thousands. When payments are delayed for months or even years, it affects entire communities and sectors of the economy,” Dr. Omeiza said.
He explained that many of the affected contractors had taken loans from Nigerian banks at high-interest rates to execute their contracts, expecting timely payment upon project completion.
He, however, said that the delays have left many unable to repay their debts or maintain operations.
According to CEJSE, some contractors with fully certified and completed projects have waited up to 18 months without receiving a single payment, despite multiple follow-ups and documented approvals.
Read Also: Boosting food security through agric finance, payment innovation
The group noted that while funds were reportedly allocated for the contracts, the disbursement process remains stalled.
“We understand Nigeria’s fiscal constraints. However, once a contract is awarded, executed, verified, and budgeted for, payment should follow as a matter of due process and integrity,” Omeiza added.
The Centre warned that continued delays could discourage future investments and disrupt the trust essential for public-private collaborations.
It urged the government to prioritise transparency and accountability in contract payment systems and called for an immediate release of outstanding funds.
CEJSE also demanded a public audit to uncover the reasons behind the persistent payment delays and recommended systemic reforms to improve efficiency in payment processing across ministries and agencies.
While expressing hope for a swift resolution, the group hinted at the possibility of legal and civil action if the issue remains unaddressed.