The Minister for Roads and Highways, Kwame Governs Agbodza, has announced that the government has released about GH₵5 billion to settle part of the arrears owed to road contractors across the country.
He explained that the payments followed a thorough audit and validation exercise by the Auditor-General and other relevant agencies to ensure transparency and prevent overpayment.
Mr. Agbodza said the audit process was necessary to verify all payment certificates submitted by contractors during the government transition period.
“As of Friday, October 10, the Finance Minister began releasing about GH₵5 billion out of the over GH₵21 billion owed to contractors,” he said.
“If we had rushed to pay without proper validation, we would have thrown away part of the taxpayers’ money because some of the amounts submitted were inaccurate.”
The minister’s clarification follows concerns raised by the Ghana Chamber of Construction Industry (GhCCI) over the delays in releasing funds for the payment of outstanding Interim Payment Certificates (IPCs).
In a letter dated September 29, 2025, and addressed to the Roads and Highways Minister, the Chamber expressed frustration over what it described as the government’s failure to honour President John Dramani Mahama’s commitment to clear all contractor arrears by the end of July 2025.
The Chamber cautioned that the prolonged delay was threatening thousands of jobs and stalling critical infrastructure projects nationwide, placing immense financial pressure on contractors, consultants, suppliers, and other industry players.
Mr. Agbodza acknowledged the industry’s frustration but assured stakeholders that the ministry was working with the Ministry of Finance to ensure sustained payments based on verified claims.
“We inherited significant arrears from the previous administration, and our current priority is to clear validated debts in a structured, transparent manner,” he said.
He revealed that the total arrears owed to road contractors currently stand at around GH₵40 billion, underscoring the fiscal challenges confronting the government in managing the country’s infrastructure commitments.
The minister reaffirmed the government’s commitment to maintaining fiscal discipline while ensuring that legitimate claims are honoured promptly.
He added that further payments would be made as validation exercises continue and funds are made available by the Ministry of Finance.
“Our goal is to sustain the road construction sector, protect jobs, and ensure that contractors are paid fairly for work done without compromising public accountability,” Mr. Agbodza said.
