Indigenous contractors on Monday resumed protests in Abuja over an alleged ₦4 trillion debt owed by the Federal Government of Nigeria for capital projects completed in 2024.
The protest, reported by the News Agency of Nigeria (NAN), comes just weeks after a similar demonstration in December 2025, when contractors raised the same concerns over unpaid obligations. While that earlier protest prompted partial payments, contractors say the bulk of the debt remains outstanding.
On Monday, protesters gathered at the Federal Ministry of Finance, insisting they would not leave until the remaining balance was settled. According to the contractors, only a fraction of the claimed amount was paid after the December action.
What the contractors are saying
Speaking at the protest, the President of the Association of Indigenous Contractors of Nigeria (AICAN), Jackson Nwosu, said the unpaid sum covers capital projects executed for the Federal Government in 2024.
He explained that although the projects were completed and verified, contractors have not received full payment. According to him, many members financed these projects through commercial bank loans, exposing them to mounting interest costs and financial strain.
Nwosu said only about 40% of the outstanding amount was paid following the December 2025 protest, adding that members would remain at the ministry until the balance was released.
“We are talking about over ₦4 trillion in unpaid capital projects executed for the Federal Government in 2024,” he said. “These projects have been completed, yet contractors are still unpaid.”
He warned that the association could escalate its actions if the government failed to honour its commitments, stressing that the situation poses risks not just to contractors but to the wider economy.
Impact on contractors
According to AICAN, delayed payments have pushed many indigenous contractors into severe financial distress. Nwosu said several members have defaulted on bank loans, with some reportedly losing properties to loan recoveries.
He added that the financial pressure has had devastating consequences for members, including reported cases of deaths linked to stress and hardship. The association accused the Federal Government of failing to honour agreements reached after previous engagements.
Nwosu also referenced assurances given by the Doris Uzoka-Anite, Minister of State for Finance, who reportedly promised that payment warrants would be issued once a verified list of completed projects was submitted. According to AICAN, despite submitting the list, no further payments followed, and members have not received any payment alerts.
This, he said, is despite directives from Bola Ahmed Tinubu instructing that the debts be settled.
What you should know
Unpaid obligations to contractors have been a recurring issue in Nigeria, particularly for capital projects executed under annual budgets.
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In June 2025, the Federal Government said it was working to clear verified outstanding payments across Ministries, Departments, and Agencies (MDAs).
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The Nigerian Senate later extended the implementation period for the 2024 capital budget to December 31, 2025, partly to allow more time for settling capital obligations.
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In January 2025, reports indicated that the Federal Government faced cash flow constraints after the Central Bank of Nigeria declined requests for overdraft support.
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In August 2025, Finance Minister Wale Edun said over ₦2 trillion in 2024 capital obligations had been settled, though contractors insist significant sums remain unpaid.
The 2026 Appropriation Bill earmarked ₦100 billion under the line item “Payment of Local Contractors’ Debts”, but contractors argue that this amount is far below what is needed to clear the accumulated arrears.
For now, the renewed protests underline growing frustration among indigenous contractors and highlight persistent challenges in Nigeria’s capital project financing and payment cycle.
Emmanuel Bassey is a Financial Expert that has worked in the Banking and Finance Industry for over 15+ years across different banks in Nigeria
