Former presidential candidate of the Labour Party, Mr Peter Obi, has criticised the Federal Government for failing to pay local contractors despite President Bola Tinubu’s public claim that Nigeria has “met and surpassed” its revenue target for the year.
In a statement titled ‘Let Our SMEs Breathe’, posted on X on Thursday, the former Anambra State governor expressed concern over reports and images of contractors protesting in Abuja and other parts of the country over unpaid bills for completed projects.
Obi said most of the affected contractors are small and medium-sized enterprises that play critical roles in regional economies and rely on timely government payments to stay afloat.
He faulted the government for boasting about increased revenue while allegedly neglecting basic financial obligations, describing the situation as a “contradiction” that exposes deeper problems in public finance management and transparency.
Obi said: “In recent days, we have seen concerning images and reports of local contractors protesting across Abuja and other parts of the country, demanding payment for work they have already completed. Most of these contractors are small and medium-sized businesses that are essential to the economy in various regions, comprising ordinary Nigerians who have delivered vital public services with the expectation that the government would honour its commitments.
“What is even more troubling is that this situation arises after President Tinubu publicly announced in August that Nigeria had “met and surpassed its revenue target for the year.” With such an impressive record, one would expect increased investment in the economy—specifically in education, healthcare, and programs that alleviate poverty. Yet, the government has still failed to pay contractors.
“A responsible government cannot claim record revenue while simultaneously leaving thousands of contractors unpaid. This contradiction highlights deeper issues related to transparency in our public finance management and governance.
“When a government fails to pay contractors, the consequences ripple through the entire economy. Medium and small businesses shut down, workers lose their jobs, families experience hardship, and the nation loses its productive capacity.
“We cannot build a strong economy when public funds are mismanaged, obligations are ignored, and local businesses are treated as expendable. If our revenue has indeed increased, it should be reflected in timely payments of obligations, the growth of micro, small, and medium enterprises (MSMEs), and reduced borrowing.
“Meeting our obligations to contractors is not optional; it is a test of honesty, competence, and true leadership. A government that cannot fulfil its commitments cannot be trusted to build a nation. As leaders, we must honour our obligations, manage resources with discipline, and create an economy that works for the people. This is how a nation rises.”
