ECONOMYTOP STORY

Over N2.4bn disbursed for 2023 FG projects, yet no contractor on site

Tracka, BudgIT’s service delivery promotion platform, which allows citizens to collaborate, track and give feedback on public projects in their communities, has uncovered payments worth N2.4 billion to seventeen contractors for fifteen projects across nine states—yet no contractor has commenced work on these sites.
According to Ayomide Ladipo Head, Tracka Some of these projects include:
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 part 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; and N88 million to A3 Interbiz Link Service Limited in December 2023 under the Pharmacist Council of Nigeria for the Construction and Equipping of PHC Centre in Adedeji Community, Ikirun, Osun State.
These and other payments worth N3.9 billion for abandoned projects nationwide were highlighted in Tracka’s 2023/2024 Report, “Achieving National Development through Efficient Service Delivery,” launched today, January 30, 2025, in Abuja.
According to the report, Tracka monitored 1,404 projects worth N282.5 billion across twenty-five states. The findings revealed that 720 projects (51%) were completed, 332 projects (24%) were ongoing, 129 projects (9%) were either abandoned or fraudulently executed, and 223 projects (16) were not executed. The report also ranked ten Ministries, Departments and Agencies (MDAs) based on project implementation rates. The Universal Basic Education Commission (UBEC) emerged as the top performer with a 78% project completion rate, followed by the Federal Ministry of Agriculture (68%) and the Nigerian Rural Electrification Agency (65%). However, the Lower Benue River Basin Development Authority (20%) and the Ministry of Niger Delta Affairs (16%) 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, stated: “Despite the clamour for increased allocations to capital expenditure by the Federal Government and sub-nationals, our tracking exercise has revealed that capital projects are the largest conduits of embezzlement and misappropriation. Poor oversight and collusion between MDAs and contractors undermine project execution, leading to outright abandonment. Given Nigeria’s pressing infrastructure deficits, public project execution must be seriously treated. We urge the current administration and anti-corruption agencies to close these loopholes, hold defaulters accountable, and prevent further financial leakages. 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 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.