Minister-designate for Roads and Highways, Kwame Governs Agbodza has revealed that Ghana’s road sector has been sunk into great debts with insurmountable interest payments.
According to him, the erstwhile government incurred high amounts of debt, attributing these debts to financial mismanagement.
“In 2018, we owed about GHC113 million; the interest on the GHC113 million this year will be GHC665 million. The debt was 113; the interest on the 113 is 665. The question is how do I explain to the taxpayers in Adaklu that we owe GHS 113 million, yet the interest on that amount is GHS 665 million?!” he questioned.
The Minister-designate described the situation as untenable, emphasizing the need for immediate reforms to prevent further economic strain and to restore confidence in Ghana’s road infrastructure financing.
Kwame Agbodza further noted that the government’s current owes road contractors approximately GH₵3 billion, with total arrears reaching GH₵15 billion, making it hard to get local contractors to undertake state projects.
“This cannot continue. Contractors delivering projects under such conditions are not only financially constrained but also disincentivized,” he added.
The Roads and Highways Minister-designate called for pragmatic steps to overhaul the sector’s financing model, prioritizing efficiency and accountability to safeguard taxpayers’ money.
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🇬🇭 ‘How do I explain to the taxpayers in Adaklu that we owe GHS 113 million, yet the interest on that amount is GHS 665 million?!’ – Roads and Highways Minister-designate, Kwame Governs Agbodza, highlights revelations about the road fund’s debt.
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