Ghana's government has paid GHS 13 billion towards road construction projects inherited from the previous administration. Roads Minister Kwame Governs Agbodza confirmed these payments, refuting claims that the current government is abandoning ongoing infrastructure works.
The Minister disclosed this information during hearings organised by Parliament's Economy Committee on June 10, 2026. These payments settle outstanding obligations for both completed and ongoing projects. This demonstrates the government's commitment to honouring existing contracts and ensuring infrastructure continuity.
This approach signifies a change from historical practices in Ghana, where new governments often abandoned projects initiated by their predecessors. Such actions historically led to significant project delays and financial losses. The current administration aims to avoid such disruptions by continuing inherited projects while also starting new ones.
Roads Minister Agbodza stated, "So far, GHS 13 billion has been paid for projects executed before the new government took office." He added that this commitment reflects what Ghanaians expect from their government. This ensures national development objectives are met without unnecessary interruptions.
This initiative helps maintain a stable and predictable environment for contractors and investors in the road sector. It also promotes fiscal responsibility by preventing the waste of resources on halted projects. The government's dual strategy aims to complete existing projects and introduce new ones to boost national development.
Parliament's decision to de-cap the Road Fund has supported these efforts. The de-capping allows the road sector to retain all its revenues, helping address a GHS 13 billion deficit. The Road Fund now receives every pesewa it accrues, providing more resources for project funding and debt settlement.
Mr. Agbodza also highlighted issues of poor planning and weak project management contributing to escalating costs. Delays often result in significant cost overruns, with projects increasing from GHS 50 million to GHS 300 million due to contract variations. The Minister stressed the importance of proper project design, adequate funding, and timely completion to avoid such cost escalations.
This focus on continuity and financial prudence is crucial for Ghana's economic stability and growth. Continued investment in infrastructure supports job creation and improves trade routes. Monitoring project execution and ensuring financial discipline will be essential for the government's success in this vital sector.