Rising Contractor Agitation Intensifies Pressure on Government — Inside the FG Deadline to Pay Contractors
The Federal Government has announced a firm deadline of December 20, 2025 to clear all verified outstanding payments owed to contractors handling federal road projects, marking one of the most decisive interventions since agitation over unpaid obligations escalated into public protests this week.
The assurance was delivered by the Minister of Works, David Umahi, during the reopening of the reconstructed Keffi Flyover in Nasarawa State.
The announcement aims to de-escalate growing unrest among contractors, who in recent days staged symbolic demonstrations and accused the government of failing to honour financial commitments critical to national infrastructure delivery.
Umahi disclosed that President Bola Ahmed Tinubu had acknowledged the severity of the debt overhang and approved the constitution of a special committee tasked with conducting a comprehensive verification of all outstanding claims ahead of the FG deadline to pay contractors.
The move, he said, demonstrates a renewed commitment to accountability and accelerated settlement of matured obligations.
The protests, which intensified earlier in the week, brought contractors under the umbrella of the All Indigenous Contractors Association of Nigeria to the gates of the Ministry of Finance in Abuja.
Accusing the government of prolonged non-payment for both completed and ongoing projects, the contractors claimed that arrears across federal works had reached approximately N4 trillion, although they demanded immediate release of N760 billion, which they said the Minister of Finance, Wale Edun, previously promised to disburse in September.
In a dramatic display of frustration, the protesters deposited a symbolic coffin at the ministry’s entrance, saying it represented the financial distress, business collapse, and in some cases deaths, suffered by contractors due to prolonged indebtedness.
They warned that further delays could shut down construction activities nationwide.
Responding, Umahi maintained that such demonstrations were unnecessary since President Tinubu had already directed that all verified debts be settled within days.
He noted that some contractors on strategic road corridors—including the Maraba–Keffi axis handled by China Harbour Engineering Company—were among those affected by delayed payments and would be covered in the upcoming disbursement cycle.
“Mr President is fully aware of the debt situation,” Umahi stated.
“He has given explicit approval for a verification and settlement committee to review all liabilities. I assure our contractors that before the 20th of December, every verified claim will be paid. There is no need for further protests.”
In a move described as unprecedented in Nigeria’s works administration, Umahi announced that the Ministry of Works had formally invited both the Independent Corrupt Practices and Other Related Offences Commission (ICPC) and the Economic and Financial Crimes Commission (EFCC) to audit all ongoing and completed federal road projects.
Read more: FG contractors protest over N500bn debt: Urgent call for contractor payment
According to him, the audit aims to strengthen transparency, reinforce public trust, and ensure that payments correspond strictly to value delivered on site.
He reiterated that since assuming office, he had submitted all project files to the anti-graft agencies, insisting that the Tinubu administration was committed to elevating standards of accountability in public infrastructure procurement.
“This is the first time such a step is being taken,” Umahi noted. “Every project across all 36 states and the FCT is being reviewed.”
To improve visibility, the government is also introducing a digital monitoring platform that will allow Nigerians track project progress in real time and raise concerns where necessary.
During the event, Umahi commended President Tinubu for approving emergency funding within 24 hours of the Keffi Flyover collapse on July 4.
The bridge, a critical link between Abuja and Nasarawa State, suffered structural damage after a truck carrying an excavator smashed through its beam.
The repair involved reconstruction of core structural elements, including the parapet, walkway, and beam, in addition to installing a new gantry system designed to prevent future truck collisions.
Technical officials from the Ministry of Works confirmed that the flyover is now structurally sound and safe for public use.
They added that new protective systems have already prevented several attempted breaches by heavy-duty vehicles.
While addressing the broader challenges in the federal road network, Umahi defended ongoing work on the Abuja–Kano Road, countering what he described as misinformed criticism over project delays.
He explained that the original design lacked full concrete shoulders, forcing the ministry to revise the plan to include durable concrete pavement technology.
According to him, more than 44 kilometres of work have now been completed with the existing funding envelope.
Sections one and three have delivered approximately eight kilometres of concrete pavement, while a solar-powered 12-kilometre lighting system around Kano is nearing completion.
He insisted that the government’s newly adopted pavement standards, stringent monitoring systems, and tolling reforms will help Nigeria achieve longer-lasting roads, reduce maintenance costs, and improve value for public spending.
Umahi further explained that the government has introduced a robust defect-liability regime that maintains a 2.5 per cent retention fee until contractors demonstrate full compliance with project specifications.
This measure, he said, will ensure that contractors deliver durable infrastructure that justifies federal investment.
As tension eases following the government’s assurance, industry stakeholders have welcomed the FG deadline to pay contractors, describing it as a necessary step to revive stalled projects, reboot cashflows within the construction sector, and restore confidence among indigenous contractors who often rely on project payments to sustain operations.
For many analysts, the verification committee, the anti-corruption audit, and the real-time monitoring framework collectively signal a shift toward transparency and structural reform within the Works Ministry.
However, they warn that timely disbursement and consistent funding cycles will be essential to ensuring that the commitments made are executed without delay.
With the December 20 deadline approaching, contractors, investors, and the public will be watching closely to see whether the Federal Government delivers on what is now one of its most closely scrutinised infrastructure commitments of the year.
About The Author
