Kennedy Nyarko Osei
Members of the Minority on Parliament’s Roads and Transport Committee say the road sector is facing a deepening financial crisis, with mounting arrears, stalled projects, and widespread contractor withdrawals threatening the sustainability of critical infrastructure across the country.
According to them, there is a severe mismatch between government commitments and actual financial releases, warning that the situation could derail national development efforts if urgent action is not taken.
Addressing a press conference in Parliament on Tuesday, the Ranking Member of the Roads and Transport Committee, Kennedy Nyarko Osei, disclosed that the sector is currently burdened with outstanding arrears estimated at GH¢20 billion.
He noted that although about GH¢5.8 billion was allocated to the sector for 2025 and 2026, only GH¢1 billion has been released so far, an amount he described as grossly inadequate.
According to him, the funding shortfall has had severe consequences on ongoing road projects nationwide. “About 80 percent of contractors working under Road Fund projects are currently not on site,” he stated, attributing the development to delayed payments and the inability of contractors to sustain operations.
The situation, he warned, had led to the abandonment of several project sites, with many contractors demobilising equipment and suspending work indefinitely while awaiting payment.
Even in cases where partial payments have been made, he explained, the amounts released are too minimal to enable contractors to effectively return to site.
The Minority stressed that the continued delay in settling arrears risks not only the deterioration of partially completed roads but also significantly increases future rehabilitation costs.
It further cautioned that the loss of contractor confidence could undermine the long-term viability of road infrastructure financing in the country.
Mr. Osei emphasised that the current fiscal constraints require innovative financing solutions beyond traditional government funding.
He pointed to alternative mechanisms such as infrastructure bonds, which could allow private individuals and institutions to invest in road development, supported by modernised toll collection systems.
“The reality is that the government alone cannot sustainably finance the road sector under current conditions,” he said, urging the government to explore diversified funding options while prioritising the clearance of outstanding debts.
The Minority again called for immediate steps to restore confidence among contractors, warning that failure to act swiftly could result in widespread project failures and further strain on the national economy.
The Minority also raised concerns about the government’s flagship ‘Big Push’ infrastructure programme, cautioning that while the initiative holds promise, its current implementation lacks the transparency required for a project of such magnitude.
The programme, which is expected to cost about GH¢50 billion, has come under scrutiny due to the absence of publicly available details on contract awards, project scope, and cost structures.
According to the Ranking Member, the government must, as a matter of urgency, publish full details of the contracts, including the identities of contractors and the cost per kilometre of road construction. He argued that without such disclosures, it would be difficult for Ghanaians to independently assess whether the projects offer value for money, especially in a sector already grappling with significant financial constraints.
The Minority maintained that transparency is critical to building public trust and preventing cost overruns, stressing that established industry benchmarks exist to guide pricing.
By Ernest Kofi Adu, Parliament House