Pressure mounts as FG fails to release 2024 capital budget funds

The National Coalition on Accountability and Probity in Governance (NCAPG) has decried the Federal Government's failure to release funds for the 2024 capital budget, citing severe economic repercussions.

At a press conference, NCAPG National Coordinator Igwe Ude Umanta highlighted the delay's ripple effects, including stalled infrastructure projects, heightened unemployment, and financial hardship for businesses.

“The government's inability to release capital to contractors has crippled economic activity across sectors,” he noted.

Umanta described the situation as dire, with many contractors defaulting on loans and some businesses shutting down entirely.

He added, “Capital projects are essential drivers of economic growth. The absence of funding has resulted in unfinished infrastructure projects, limited consumer purchasing power, and heightened inflation.”

The coalition stressed that capital budget releases are not mere expenditures but vital investments.

“These funds stimulate economic growth, create jobs, and improve infrastructure,” Umanta said, urging the government to prioritise economic stability and transparency.

NCAPG proposed several solutions, including introducing targeted interventions to support Small and Medium Enterprises (SMEs), which form the backbone of the economy.

The group also recommended a clear repayment plan for contractors and enhanced communication with citizens about ongoing reforms and projects.

While commending the Tinubu administration's reform efforts, NCAPG emphasised the need for tangible results and called for periodic updates on the economic team's progress before implementing the 2025 budget.

“The challenges we face demand a renewed sense of urgency and purpose,” Umanta concluded, reiterating the coalition's call for immediate action to revive Nigeria’s economic trajectory.