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    Home - How 17 Contractors ‘Pocketed’ FG’s N2.4bn For Unfinished Projects

    How 17 Contractors ‘Pocketed’ FG’s N2.4bn For Unfinished Projects

    By Sadiq MuhammadJanuary 30, 2025
    Road Projects

    TRACKA, the service delivery platform of BudgIT, has revealed that 17 contractors received N2.4 billion for 15 projects across nine states, yet none of the projects have been initiated on the sites monitored.

    NEW UBA

    The platform, which allows citizens to track and provide feedback on public projects, highlighted several payments, including:

    NNAMDI
    • The payment of N401 million to Mainstream Contractors in December 2023 under the Federal Ministry of Works and Housing for the rehabilitation of Welcome-Nasarawa-Farewell from Nasarawa, linking the North and Southern parts of Nigeria in Nasarawa LGA, Nasarawa State.
    • N153 million to Icent Light Ltd between August and November 2023 under the National Institute for Construction Technology, Uromi, for the fencing, landscaping, and completion of Onicha-Uku Town Hall and Event Centre at Aniocha/Oshimili in Delta.
    • N88 million to A3 Interbiz Link Service Limited in December 2023 under the Pharmacists Council of Nigeria for the construction and equipping of a PHC Centre in Adedeji Community, Ikirun, Osun State.
    • N3.9 billion for projects nationwide that were abandoned or never executed.

    Tracka’s 2023/2024 Report, titled Achieving National Development through Efficient Service Delivery, launched on January 30, 2025, also tracked:

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    • 1,404 projects worth N282.5 billion across 25 states. Of these, 720 projects (51%) were completed, 332 (24%) were ongoing, 129 (9%) were abandoned or poorly executed, and 223 (16%) were not executed.

    The report also ranked 10 Ministries, Departments, and Agencies (MDAs) based on project implementation rates.

    The Universal Basic Education Commission (UBEC) emerged as the top performer with a 78 per cent project completion rate, followed by the Federal Ministry of Agriculture with 68 per cent, and the Nigerian Rural Electrification Agency with 65 per cent.

    However, the Lower Benue River Basin Development Authority, with 20 per cent, and the Ministry of Niger Delta Affairs, with 16 per cent, ranked low, reflecting inefficiencies in project execution.

    Expressing concern over the non-execution of critical public projects despite the disbursement of funds, Gabriel Okeowo, BudgIT’s Country Director, lamented that despite the clamour for increased allocations to capital expenditure by the Federal Government and sub-nationals, BudgIT’s tracking exercise revealed that capital projects are the largest conduits of embezzlement and misappropriation.

    According to Okeowo, poor oversight and collusion between MDAs and contractors undermine project execution, leading to outright abandonment.

    He added: “Given Nigeria’s pressing infrastructure deficits, public project execution must be seriously treated.”

    Nigerian TAX Reform - Federal Goverment

    He urged the current administration and anti-corruption agencies to close the loopholes, hold defaulters accountable, and prevent further financial leakages, warning that: “If left unchecked, Nigeria’s scarce resources will continue to be siphoned off by unscrupulous actors at the expense of national development.

    “We call on the anti-graft agencies, including the Independent Corrupt Practices and Other Related Offences Commission (ICPC) and the Economic and Financial Crimes Commission (EFCC), to investigate these discrepancies in the 2023 budget expenditures and prosecute erring contractors.

    “We also urge elected representatives to prioritise addressing abandoned projects outlined in the report to ensure the effective utilisation of public funds for maximum impact.”

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