FG Bars MDAs from Awarding Contracts Without Warrant Authority

The Federal Government has instructed Ministry Department Agencies (MDAs) to cease awarding contracts without proper warrant authority to incur expenditure. Minister of Finance and Coordinating Minister of the Economy, Wale Edun, made this announcement in Abuja during an event on the implementation of the extended capital budget Cash Planning Policy.

The directive aims to ensure the prudent management of the nation's resources. MDAs are now required to download and attach Warrants of Authorities to Incur Expenditure (AIEs) as proof of fund availability before tender board meetings.

Edun emphasized that no contract should be awarded or financial obligations entered into without the corresponding funds being released. The government is also focusing on funding the extended 2024-2025 capital budget, with a particular emphasis on priority project development.

Senator Abdul Ahmed Ningi of Bauchi Central raised concerns about contractors handling government projects in 2024.