Tinubu sets up inter-ministerial committee to clear debts owed 2,000 contractors

President Bola Tinubu has set up an inter-ministerial committee to resolve outstanding liabilities owed to more than 2,000 Federal Government contractors.

Bayo Onanuga, Special Adviser to the President on Information and Strategy, disclosed this on Wednesday while briefing State House correspondents after the Federal Executive Council (FEC) meeting presided over by the President.

For several days, contractors have been staging protests at various ministries, especially the Federal Ministry of Finance, demanding payment for completed projects.

Read also: Police disperse contractors protesting alleged N5.2bn FCTA debt

Onanuga said the visibly displeased President wondered why contractors had not been paid despite favourable reports of increased government revenue.

According to him, the committee comprises the Minister of Finance and Coordinating Minister of the Economy; Minister of Works; Minister of Economic Planning; Minister of Education; Minister of Housing; Minister of Marine and Blue Economy; the Director-General, Budget Office; and the Chairman, Federal Inland Revenue Service (FIRS).

BusinessDay gathered that the committee was given two weeks to develop a payment plan.

“The President expressed very grave displeasure about the fact that contractors are being owed money, and he set up a committee of about six ministers to look into the problems delaying payments,” Onanuga said.

He added that the Director-General of the Bureau of Public Procurement informed the President that about 2,000 contractors were being owed, a revelation that further angered Tinubu.

“So, the ministers are to look into the problem and find a solution to raise the funds needed to pay contractors. The President said he’s not happy at all and directed the committee to come up with solutions,” he added.

The contractors have accused the Federal Government of breaking its promises and contributing to economic stagnation, saying many of their members are facing business collapse.

BusinessDay also gathered that the contractors are claiming the Federal Government owes them about N4 trillion for completed 2024 projects, including constituency projects, although these claims have not been officially confirmed.

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