House of Reps Holds Closed-Door Session With Finance Minister, FIRS Boss Over Delayed Payments to Indigenous Contractors

The House of Representatives on Tuesday entered a crucial closed-door meeting with the Minister of Finance and Coordinating Minister of the Economy, Wale Edun, and the Executive Chairman of the Federal Inland Revenue Service (FIRS), Dr. Zacch Adedeji, to address the growing controversy surrounding unpaid debts owed to indigenous contractors across the country.

The session, held at the National Assembly complex in Abuja, comes amid mounting pressure from local contractors who have staged persistent protests in the capital over billions of naira owed by the Federal Government for projects completed in the 2024 fiscal year. The demonstrations, which have taken place over several weeks, have drawn national attention as contractors accuse the government of failing to keep financial commitments despite budgetary provisions.

According to insiders, the House summoned Edun and Adedeji to clarify the status of payments, outline reasons for the delays, and present a concrete roadmap for clearing outstanding obligations. Lawmakers have expressed concern that the growing debt profile to local contractors is not only stifling small and medium-scale enterprises but also undermining confidence in federal procurement processes.

Before the session went behind closed doors, a ranking member of the House Committee on Public Accounts described the situation as “untenable and capable of crippling indigenous contracting firms.” He noted that many contractors relied on bank loans to execute federal projects and are now facing severe financial distress due to the government’s inability to fulfill its part of the agreements.

The contractors’ protests intensified last week, with representatives from various associations—including those in construction, engineering services, supply, and infrastructural maintenance—storming the Finance Ministry to demand urgent intervention. They alleged that despite successfully completing projects under federal MDAs, their payment certificates have remained unattended, some for as long as eight months.

“We are not asking for favors; we are demanding payment for jobs that were duly executed, verified, and approved,” one protest leader said in Abuja. “Many of us borrowed money at very high interest rates to deliver these projects. If the government does not pay, companies will fold, workers will lose their jobs, and families will suffer.”

The Finance Ministry has previously attributed the delay to revenue shortfalls and a backlog inherited from preceding financial cycles. However, with Nigeria’s ongoing drive for economic stabilization, lawmakers say the government must find creative and timely solutions to protect local businesses, especially in critical sectors like construction and public utilities.

The presence of the FIRS Chairman, Dr. Zacch Adedeji, at the meeting signals the House’s interest in understanding the nation’s revenue inflow situation and how it affects federal obligations. Adedeji is expected to brief lawmakers on the current revenue performance, tax collection projections, and how these align with the government’s capacity to meet contractual obligations.

A source inside the House indicated that the lawmakers would demand a clear timeline for settling outstanding debts and stronger coordination between revenue-generating agencies and the Ministry of Finance. “This is not the time for ambiguity,” the source stated. “Contractors need certainty. The economy needs liquidity. And the government must uphold its credibility.”

Another major concern for the legislators is the ripple effect of the delayed payments on national economic growth. Contractors play a key role in delivering infrastructural development, and delayed financial settlements can slow down ongoing projects, disrupt planning for the new fiscal year, and negatively impact employment across the sector.

Analysts say that if the federal government fails to address the payment crisis swiftly, Nigeria may face a decline in contractor participation in future bidding rounds, as firms become wary of delayed payment risks. This could open the door for increased dependence on foreign contractors, contrary to current efforts to strengthen local capacity and reduce capital flight.

The House is also expected to probe whether any bureaucratic bottlenecks, internal policy conflicts, or administrative delays within the Finance Ministry are contributing to the backlog. Lawmakers reportedly want clearer communication between ministries, departments, and agencies (MDAs) to prevent future payment disputes.

While the closed-door meeting continues, protesters have vowed to resume demonstrations if no clear resolution emerges. Many believe that the House intervention represents their best hope for expedited payment, as previous assurances from ministry officials have not led to tangible outcomes.

As of press time, the House had not released an official statement on the outcomes of the meeting. However, expectations remain high that a decisive framework will be announced to address the financial concerns of indigenous contractors, restore trust in the federal contracting system, and ensure that ongoing and future projects are not jeopardized by cash-flow interruptions.