CBN Blames Governors and Lawsuits for Delay in N85bn Healthcare Project Across 774 LGAs
The Central Bank of Nigeria (CBN) has attributed the delay in completing a nationwide healthcare project to pending litigations instigated by the Nigeria Governors Forum and other entities. The N85 billion initiative, approved by the Federal Executive Council in 2007, aimed to construct primary healthcare centers in each of Nigeria’s 774 Local Government Areas (LGAs). So far, 584 centers have been completed, while 190 remain unfinished. According to court filings reviewed by Nairametrics, the CBN insists the delays are a direct result of legal battles, rather than logistical or financial constraints.
The legal challenge was brought by two lawyers, Onabe Wilfred Ewoh and Fayenengigha Israel Jacob, who claimed to represent Boki LGA in Cross River State and Brass LGA in Bayelsa State. They argue that the healthcare centers were constructed without the consent of democratically elected LGA chairpersons and that deductions from LGA statutory allocations by the CBN were unauthorized. Their suit seeks to halt further deductions and to nullify the project contract on grounds of procedural irregularities and lack of local consent.
In response, the CBN, through an affidavit by staff member Nwabuko Catherine Omoh, stated that all 774 LGAs initially consented to the project and the funding arrangement. The apex bank argued that the plaintiffs are not recognized officials of any LGA and lack the legal standing to challenge the project. The CBN further emphasized that the plaintiffs’ legal action is baseless and obstructive, noting that no official opposition was raised by any LGA chairperson at the time of the contract’s initiation or during implementation.
Mathan Nigeria Limited, the project contractor, through its counsel Wale Balogun SAN, called for dismissal of the suit, arguing that the plaintiffs do not represent the LGAs they claim to and have not suffered any personal harm. The elected chairmen of the two LGAs in question have also reportedly filed affidavits disassociating themselves from the lawsuit. Both CBN and Mathan Nigeria Ltd have urged the court to strike out the case for lack of jurisdiction and merit. The Federal High Court, presided over by Justice Mohammed Umar, has scheduled July 3, 2025, for the next hearing.
The controversy underscores longstanding efforts by the Nigerian government to improve access to primary healthcare. The initial contract under a public-private partnership with ALGON was part of broader reforms initiated in 2007. More recently, in April 2025, the current administration announced the revitalization of 901 Primary Healthcare Centres, with plans to upgrade an additional 2,701. Despite these developments, the court dispute threatens to stall progress in the remaining 190 underserved LGAs, potentially undermining nationwide public health goals.
Source: Nairametrics