The Federal Government has begun steps to settle long-standing debts owed to local contractors, in a move aimed at restoring trust, boosting economic activity, and supporting ongoing reforms.
The assurance was given by the Minister of Finance and Coordinating Minister of the Economy, Mr. Taiwo Oyedele, during a meeting with members of the All-Indigenous Contractors Association of Nigeria in Abuja. The meeting focused on resolving payment issues that have affected many contractors working on government projects.
According to a statement released by the ministry’s Head of Information and Public Relations, Efe Ovuakporie, the government is committed to handling the process in a fair, transparent, and well-structured manner. The goal is to ensure that only verified claims are settled while maintaining financial discipline.
Oyedele explained that clearing these debts is not just about paying contractors, but also about strengthening confidence in government operations. He noted that timely payments would help businesses survive, protect jobs, and contribute to overall economic stability.
The meeting was organized to address the ongoing dispute between the government and indigenous contractors, many of whom have faced delays in receiving payments for completed projects. Discussions focused mainly on unpaid capital expenditure and the need for a clear system to verify and settle outstanding claims.
The minister acknowledged the challenges raised by contractors, including delayed payments, changes in contract terms, and the effects of current economic reforms on project execution. He assured them that the government is working with relevant agencies to review all claims and create a reliable payment plan.
He emphasized that while the government is focused on implementing important economic reforms, it also understands the need to consider the impact of these policies on businesses and stakeholders. According to him, efforts are being made to strike a balance between meeting financial obligations and managing limited resources responsibly.
Oyedele further highlighted the important role local contractors play in developing infrastructure and driving economic growth. He stated that the government is determined to resolve all outstanding issues through continuous dialogue and within the limits of fiscal responsibility.
“Our aim is to create a system that is fair and sustainable. We want to ensure that legitimate claims are settled while maintaining transparency and accountability,” he said.
In response, representatives of the contractors expressed appreciation for the government’s willingness to engage in dialogue. They described the meeting as a positive step toward resolving the long-standing issues and rebuilding trust between both parties.
The contractors also showed optimism that the renewed discussions would lead to practical solutions and timely payments, which would allow them to continue their projects and support economic growth.
