Expectations of Nigerians for increased level of infrastructural development and project delivery is currently being threatened by the inability of Federal government through Federal Ministry of Finance to pay Departments and Agencies ( MDAs) to execute projects in 2021 budget
For many years, implementation of Capital projects component of government annual budgets has remained a major set back to economic development of Nigeria.
The Senate had on 16th December 2020 approved a request by Mr President for the extension of the Capital projects component of the 2020 budget to 31st March, 2021.
A top official of a department who maintained anonymity revealed that Federal Government’s inability to pay the agencies and departments had made it impossible for projects to be executed as expected
He questioned the need for 2022 budget when 2020 and 2021 budgets are yet to be implemented
It all started with inability of the MDA’s to complete payments for ongoing projects to not releasing funds for the departments and agencies to implement their budgets .
A situation that made it difficult for contractors, many of whom took bank loans, to fulfill financial obligations to their creditors as well as pay staff salaries.