Ministry of Works Grapples with N1.5 Trillion Debt Inherited from Previous Government – Umahi

• The Ministry of Works, under Sen. David Umahi, discloses inheriting a significant N1.5 trillion debt, forming committees to scrutinize and address it
• Committees for each geopolitical zone are tasked with reviewing debts owed to contractors, examining variations, and making recommendations for resolution

The Ministry of Works has disclosed that it inherited a substantial debt of N1.5 trillion from the previous administration, according to a statement by the Minister of Works, Sen. David Umahi.

Umahi revealed that a committee had been established to scrutinize the N1.5 trillion debt owed to contractors by the federal government. Six committees, each corresponding to a geopolitical zone, will review certified certificates generated before May 29th, 2023, and from May 29th, 2023, to the present.

The committees are tasked with examining approved and unapproved variations of prices, as well as all augmentations, whether approved or pending approval and making recommendations to the Ministry’s management.

The Minister emphasized the importance of addressing the inherited debts and stated, “The Ministry has exposed these debts and all reviews in the Ministry to Mr. President’s economic team and also to the Federal Executive Committee on road sector funding. It is believed that the internal works through these constituted committees will help them to use external consultants to re-verify the works so that concrete decisions will be made to move the Ministry forward.”

Highlighting the urgency of the matter, Umahi urged owed contractors to present their claims with supporting documents to the committees between Tuesday, December 12th, 2023, and Friday, December 22nd, 2023, from 9 am to 7 pm at the Minister’s Conference Room, 1st floor, Federal Ministry of Works, Headquarters, Mabushi Abuja.

Meanwhile, the Minister stressed the need for a distinct focus on the road sector, extending beyond the 2024 budget envelope received by the ministry. He acknowledged the pivotal role of road sector development in catalyzing economic growth across various sectors, including security, agriculture, trade and investment, health, and education.

Expressing gratitude to President Bola Ahmed Tinubu for the attention given to the ministry and his approval of concrete pavement in most of the 2024 projects, Umahi affirmed the ministry’s commitment to advancing road infrastructure in alignment with the Renewed Hope agenda of the President.