The Senate has constituted a six-member ad hoc committee to engage the Federal Ministry of Finance on the settlement of outstanding debts owed to local contractors for projects executed across the country.
Senate President Godswill Akpabio announced the committee during plenary on Tuesday following a closed-door session.
Akpabio said the panel would serve as an interface between the Senate and the Ministry of Finance to facilitate the reimbursement of contractors who have completed government projects but have yet to receive payment.
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Sani Musa, chairman of the Senate committee on finance, was named chairman of the committee by the Senate President.
Other members of the panel are Adetokunbo Abiru (Lagos east), Kawu Sumaila (Kano south), Sani Bello (Niger north), Isah Jibrin (Kogi east), and Abdullahi Yahaya (Kebbi north).
Akpabio directed the committee to immediately begin engagements with officials of the Ministry of Finance and other relevant government agencies responsible for settling outstanding contractual obligations.
He also gave the committee one week to submit its report.
The report, according to Akpabio, should indicate the status of the debts, efforts already made by the federal government to address the issue, and the prospects for prompt payment to affected contractors.
The move follows growing concern over the impact of delayed payments on contractors and the execution of capital projects across the country.
Contractors under the aegis of the All Indigenous Contractors Association of Nigeria (AICAN) have repeatedly protested over unpaid claims, including demonstrations at the headquarters of the ministry of finance in Abuja.
The association has claimed that contractors are owed between N3 trillion and N4 trillion in certified liabilities.
However, the federal government previously put the verified figure at a lower amount and acknowledged an estimated N760 billion backlog for some highways and legacy contracts.
The government also included provisions in the 2026 budget for settling outstanding obligations to contractors.
Minister of Finance and coordinating minister of the Economy, Taiwo Oyedele, recently assured indigenous contractors that verified claims would be settled through a transparent and structured process.
The Senate said the committee's findings would provide lawmakers with a clearer picture of the federal government's financial obligations to contractors and guide further legislative action on the matter.
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Lawmakers said prompt settlement of verified debts could ease the financial burden on contractors, stimulate economic activity, and accelerate the completion of critical infrastructure nationwide.
