Investigation of the Effect of Delayed Payments on Contractor Performance in Kebbi State

Delayed payments to contractors by public sector clients remain one of the most damaging features of construction procurement in Nigeria, adversely affecting project performance, contractor financial health, and industry development. This study investigates the effects of payment delays on contractor performance in public building projects in Kebbi State. A descriptive survey was adopted, with structured questionnaires administered to 74 contractors and quantity surveyors involved in state-funded projects between 2020 and 2024. Data were analysed using frequency distributions and chi-square tests. Findings show that 78% of contractors surveyed experienced payment delays exceeding 90 days beyond contractual payment dates. These delays contributed to site demobilisation in 61% of cases, material shortages in 54%, labour attrition in 47%, and quality reduction in 38% of projects. The study further finds that delayed payments increase contractor financing costs and undermine their capacity to prequalify for future projects. Quantity surveyors acknowledge that payment certificate processing delays within government are a systemic issue exacerbated by budget release schedules disconnected from contract payment terms. Recommendations include legislative reform to establish mandatory maximum payment periods for government contracts, digital payment tracking systems in state ministries, and contractor financial literacy programmes. This research addresses an urgent governance gap in construction payment practices in North West Nigeria. Keywords: delayed payments, contractor performance, Kebbi State, public sector, construction finance