President Bola Ahmed Tinubu Wednesday set up a high-level committee to resolve the N1.5 trillion backlog of payments owed federal contractors.
This was disclosed by the Special Adviser to the President on Information and Strategy, Mr Bayo Onanuga, while addressing State House correspondents at the end of the Federal Executive Council (FEC) meeting chaired by President Bola Ahmed Tinubu in Abuja.
He said the President was visibly upset after learning that more than 2,000 contractors are being owed for completed projects.
“He made it very, very clear he is not happy and wants a one-stop solution. An important highlight in the course of the FEC meeting is that the President expressed grave displeasure about the fact that contractors are being owed money,” he said.
According to him, the Director-General of the Bureau of Public Procurement (BPP), Dr Adebowale Adedokun, briefed the FEC on the magnitude of outstanding obligations, prompting the President’s directive to constitute a multi-ministerial team to design a funding plan and clear the backlog.
The committee comprises the Minister of Finance and Coordinating Minister of the Economy, Wale Edun; Minister of Budget and Economic Planning, Atiku Bagudu; Minister of Works, Dave Umahi; Minister of Education, Olatunji Alausa; Minister of Housing, Ahmed Dangiwa; Minister of Marine and Blue Economy, Gboyega Oyetola; Director-General of the Budget Office of the Federation, Tanimu Yakubu; and the Executive Chairman of Federal Inland Revenue Service (FIRS), Dr Zacch Adedeji.
“All of them are supposed to sit down, develop a plan as a committee, and then go to the President to tell him the solution they have found in allocating funds to pay contractors,” he said.
He said the President was determined to “find the money and fix the problem,” even hinting that the government could borrow to settle verified obligations if necessary.
“He even said that, as a sovereign country, we can go and borrow to pay those contractors,” he said.
