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Minister for Roads and Highways, Kwame Agbodza Governs, has revealed that the government will release GH¢4 billion this month to settle outstanding debts owed to contractors.
This payment, he explained, forms part of the GH¢21 billion arrears inherited by the Mahama administration.
The announcement follows President John Dramani Mahama’s earlier assurance that road contractors—many of whom have abandoned project sites due to delayed payments—would begin receiving funds to enable them to resume work.
Speaking at a press briefing on Tuesday, July 8, Mr. Agbodza stated that an audit into ongoing and completed projects had been concluded, paving the way for the disbursement.
“On the bigger issue of how do we address the payment to contractors since we have already admitted. If you listen to His Excellency, the President of the Republic, yesterday he indicated that towards the end of this month, the finance minister would be taking steps to retire some of the debt old contractors so that they can go back to site and complete the work. On record, we are intending to pay some four billion Ghana Cedi towards retiring part of the 21 billion from this month.”
Mr. Agbodza noted that the decision to delay payments initially was due to the need to vet and validate claims submitted by contractors under the previous administration.
Now that the vetting process is complete, he said, the government is ready to make good on its commitments.
He also used the opportunity to call on contractors working on the Ofankor-Nsawam road to expedite work and prioritize measures that will reduce the ongoing inconvenience to commuters and residents.
The payment is expected to bring significant relief to contractors and rejuvenate stalled infrastructure projects across the country.
