Nigerian govt to stop payments to contractors hoarding advance funds – Umahi

Minister of Works, David Umahi has issued a steadfast informing to contractors holding Advance Payment Guarantees, APGs, for years without commencing work, directing them to instrumentality to their task sites instantly oregon forfeit further fiscal approvals.

Umahi faulted the signifier of retaining Federal Government funds for 4 to 5 years without applying them to awarded contracts, portion inactive submitting outgo certificates to entree further funds.

He described the concern arsenic unacceptable and contrary to modular procurement and fiscal absorption practices.

According to the minister, contractors indispensable promptly resume enactment and guarantee that beforehand payments are strictly utilised for the projects for which they were released.

He made it wide that the ministry would nary longer process oregon honour outgo certificates from contractors who are inactive successful possession of unspent authorities funds.

“I volition not o.k. outgo certificates for immoderate contractor who has held authorities funds for 4 oregon 5 years and is seeking further payments without delivering connected the project,” helium said.

Umahi besides criticised the signifier of investing nationalist funds successful banks ...