Minister of Works and Housing, Babatunde Fashola has said that a total of N392 billion is being owed road construction contractors by the Federal Government.
The former Lagos State Governor was appearing before the Senate to defend his budget recently.
According to Fashola, the construction firms are handling about 711 road projects across the country.
He went on to note that the debt of N392 billion owed construction companies is far higher than the N276 billion that was budgeted for roads in 2021.
Fashola said: “With the situation on ground, a stop has come for new projects and need for prioritizing of existing ones towards achieving completion of some of them.”
Fashola said: “We do not have the resources that we need to fix our road infrastructure at once. The very reason why we need to prioritize what we want to do. The situation on ground requires us to cut our coat according to our cloth and not according to our size because no good will come out of more new road projects now.”
He further said that over N7 trillion is needed to fully construct the 711 roads nationwide but due to financial difficulties, the ministry has drawn out a priority list, with highways getting the utmost attention.