- Poor Funding Hampering Federal Projects – FRC
Most projects being handled by the Federal Government across the country are hampered by lack of consistent funding, the Fiscal Responsibility Commission has said.
As a result of poor funding, the projects often drag beyond the timeframes envisaged in the contract documents. It also often leads to renegotiation of contract sums that had already been agreed between executing agencies and contractors, according to the FRC.
The commission said this in the ‘Physical Verification Report of Selected FGN Capital Projects’ obtained by our correspondent in Abuja on Wednesday.
It also said that most health institutions across the country were not keeping proper records of their procurement documents and project history.
The report emanated from the monitoring of selected projects in the six geopolitical zones of the country through verification visits to the project sites by six teams from the FRC between November and December 2017.
According to the report, the teams visited projects across the six geopolitical zones of the country spread across several sectors, including roads, health, water resources, education and construction.
The report stated, “Lack of consistent funding is a fundamental problem for most of the projects leading to extension of contract duration and contract sum review.
“Some of the health institutions were handling too many projects simultaneously. Most of the health institutions did not keep proper records of their procurement documents and projects’ history.”
