63.6% of Businesses Face Government Contract Barriers — Survey

A survey has revealed that nearly two-thirds of Nigerian businesses face significant obstacles in accessing government procurement opportunities, reinforcing concerns over transparency, competitiveness and accountability in the country’s public procurement system.
The findings, released by the Network for Fiscal Governance and Accountability Development (NEFGAD), showed that 63.6 per cent of respondents described access to government procurement opportunities as either “difficult” or “very difficult,” suggesting that many qualified businesses remain excluded from competing effectively for public contracts.
The survey, conducted digitally among civil society organisations, contractors, consultants, procurement professionals and service providers across Nigeria, paints a troubling picture of a procurement system that stakeholders believe still falls short of the principles of openness, fairness and equal opportunity despite an established legal framework.
According to the report, concerns over transparency remain widespread. Only 40.9 per cent of respondents rated Nigeria’s public procurement processes as transparent or very transparent, while the majority believed procurement procedures were only somewhat transparent or lacked sufficient openness altogether.
The report further indicated that 54.6 per cent of respondents believed procurement opportunities are rarely or never advertised fairly and openly, raising questions about equal access to public contracts and the competitiveness of government procurement.
The findings also revealed declining confidence in procurement oversight institutions. Nearly 60 per cent of respondents described existing oversight mechanisms as ineffective or very ineffective, reflecting concerns about the ability of regulatory institutions to ensure compliance with procurement laws and promote accountability.
Despite these concerns, the survey found overwhelming public support for greater openness in government contracting. According to NEFGAD, 81.8 per cent of respondents backed the public disclosure of all awarded contracts and contract performance reports, arguing that wider access to procurement information would enable citizens to monitor the use of public funds and ensure contractors execute projects in line with contractual obligations.
Commenting on the findings, NEFGAD said Nigeria has made appreciable progress by establishing a legal and institutional framework for public procurement through the Public Procurement Act 2007 and the Bureau of Public Procurement. However, it noted that implementation challenges continue to undermine transparency, efficiency, value for money and public confidence in the procurement process.
The organisation described public procurement as one of the most important pillars of public financial management, noting that effective procurement systems are essential for reducing corruption, promoting competition, improving service delivery and ensuring prudent management of public resources.
According to the report, respondents identified the deployment of a comprehensive electronic procurement (e-procurement) system as the single most important reform needed to improve the integrity and efficiency of public procurement in Nigeria.
Other priority recommendations included prompt payment of contractors to reduce project delays, strengthening the independence and effectiveness of procurement oversight institutions, expanding public access to procurement information, enforcing stricter sanctions for procurement violations, amending the Public Procurement Act 2007 to reflect emerging realities, and inaugurating the National Council on Public Procurement as provided under the law.
Based on the survey findings, NEFGAD urged the Federal Government, the National Assembly, the Bureau of Public Procurement, state governments and all procuring entities to urgently implement a nationwide e-procurement platform capable of improving transparency and widening access to government contracting opportunities.
The organisation also called for the mandatory publication of procurement plans, tender notices, bid evaluation reports, contract awards and contract performance reports through accessible digital platforms to strengthen public accountability.
In addition, it advocated the establishment of a centralised digital procurement portal to improve access to procurement opportunities for qualified businesses nationwide, prompt settlement of contractors’ payments to facilitate timely project execution, tougher enforcement of sanctions against procurement breaches, and accelerated amendments to the Public Procurement Act alongside the inauguration of the National Council on Public Procurement.
NEFGAD maintained that implementing these reforms would significantly enhance transparency, strengthen accountability, promote fair competition and restore public confidence in Nigeria’s procurement system.
The organisation reaffirmed its commitment to working with government institutions, civil society organisations, development partners and citizens to promote integrity, transparency and accountability in public procurement, noting that a more open and competitive procurement process is critical to improving public service delivery and supporting Nigeria’s economic development.
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