Group Blames Finance Minister, AGF for Contractor Payment Delays
A civic group, the Centre for Economic Justice and Social Equity (CEJSE), has slammed the Federal Ministry of Finance and the Office of the Accountant-General of the Federation for what it described as gross administrative failure over prolonged delays in contractor payments across Nigeria.
In a statement issued Tuesday and signed by its president, Dr. Ibrahim Okehi Omeiza, the group said the persistent non-payment of verified contractors is creating far-reaching economic consequences, crippling small businesses, fuelling unemployment, and eroding public trust in government processes.
“The refusal to pay contractors who have completed and verified government projects has become a silent but deadly virus in the Nigerian economy,” Dr. Omeiza said.
He stressed that many contractors had taken high-interest loans from banks to execute projects, only to face months—and in some cases, years—of unpaid invoices.
“It is unconscionable. These contractors fulfilled their part of legally binding agreements. Now, they are made to beg for payment, shuttling between ministries like political refugees,” he added.
CEJSE warned that the crisis has triggered mass layoffs, loan defaults, and economic strain in communities dependent on contractor-led employment and services.
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“This is no longer an isolated bureaucratic hiccup. It is systemic, deliberate, and disastrous. The Finance Minister and the Accountant-General owe Nigerians a full explanation,” the group said.
Dr. Omeiza noted that in some cases, contractors with fully certified projects have waited over 18 months without receiving payment, despite existing budgetary provisions and formal approvals.
“Markets suffer, families go hungry, children are pulled from school. This delay is not only a fiscal issue—it is a moral failure,” the statement continued.
The group accused government agencies of either withholding or diverting funds meant for cleared contractual obligations and called for an immediate public audit of payment delays.
“We understand Nigeria’s fiscal constraints. But when contracts are executed and funds allocated, non-payment is not just incompetence—it’s economic sabotage,” CEJSE said.
It also warned that continued negligence would discourage investment, damage public-private partnerships, and threaten the future of infrastructure delivery in Nigeria.
“No investor will trust a system where payments are uncertain and due process is routinely ignored. This undermines everything from local confidence to international credibility,” the group noted.
CEJSE seek urgent payment to all verified contractors, transparency on the status of delayed disbursements, and urgent reforms in the contractor payment system. It also threatened legal and civil action should the Finance Ministry and AGF’s office fail to act promptly.
