The Senate has constituted a six-member committee to engage the Federal Ministry of Finance on the settlement of outstanding payments owed to local contractors for projects executed across the country.

Senate President Godswill Akpabio announced the committee’s formation on Tuesday following a closed-door session.

The committee is chaired by the Chairman of the Senate Committee on Finance, Senator Sani Musa (APC, Niger East). Other members are Senators Adetokunbo Abiru (APC, Lagos), Kawu Sumaila (APC, Kano), Sani Bello (APC, Niger), Isah Jibrin (APC, Kogi) and Yahaya Abdullahi (APC, Kebbi).

Akpabio directed the committee to submit its report within one week, detailing efforts by the Federal Government to address the outstanding liabilities owed to contractors.

The move comes amid concerns over unpaid debts to indigenous contractors. Contractors under the umbrella of the All Indigenous Contractors Association of Nigeria (AICAN) have estimated the outstanding certified liabilities at between ₦3 trillion and ₦4 trillion.

The Federal Government, however, has previously cited lower verified figures, including an estimated ₦760 billion backlog relating to some highway and legacy contracts.

Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, recently assured contractors that verified claims would be settled through a transparent and structured payment process.