FG Clears Payments for 1,240 Contractors, Prioritises Claims Below N100m

The Federal Ministry of Finance has approved the settlement of outstanding payments to more than 1,240 contractors engaged by various Ministries, Departments and Agencies (MDAs), in a move aimed at reducing long-standing government liabilities.

The ministry said priority would be given to verified claims below N100 million as part of efforts to ease pressure on businesses and improve liquidity in the contracting sector.

The announcement was contained in a statement issued on Monday by the Senior Special Assistant on Communication and Press Secretary to the Minister of Finance, Mary-Ann Duke.

According to the statement, the approvals followed a comprehensive verification and reconciliation exercise designed to confirm legitimate outstanding obligations across MDAs.

Mary-Ann Duke said the process was necessary to ensure transparency and prevent the payment of unverified claims.

“The exercise followed a thorough verification and reconciliation process to confirm outstanding obligations to contractors, ensuring that only legitimate claims are honoured,” she stated.

The ministry explained that the initiative is part of broader efforts to clear inherited debts while strengthening accountability in public financial management.

It added that prioritising smaller verified claims would provide quicker relief to contractors and help stabilise cash flow for affected businesses.

Officials expressed optimism that the settlement would improve confidence in government contracting, support ongoing projects, and stimulate economic activity across key sectors.

The ministry reaffirmed its commitment to meeting legitimate obligations while ensuring strict adherence to due process and financial regulations in all payment approvals.