FG Processes Over N700B Contractor Payments, Clears 1, 240 Verified Claims
By Morris Nor//The Federal Government has approved payments to more than 1,240 contractors across ministries, departments and agencies after a verification and reconciliation exercise.
The Federal Ministry of Finance said the move is part of efforts to settle verified obligations owed to local contractors and restore confidence in government contracts.
According to the ministry, contractors with verified claims of ₦100 million or less were prioritised in the latest batch of payments.
The government said the payments would provide immediate liquidity support to indigenous businesses, small and medium-sized enterprises, helping them return to project sites, pay workers and settle suppliers.
The ministry also disclosed that more than ₦700 billion in verified obligations owed to local contractors has been processed in recent months.
It added that in May alone, about ₦436.6 billion worth of transactions were processed as part of efforts to accelerate payment activity and support economic growth.
The government said prioritising smaller contractors would help spread the impact of the disbursements across sectors and regions while protecting jobs and supporting project completion.
The development comes after months of complaints and protests by contractors over unpaid debts owed by the Federal Government.
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