SKwame Governs Agbodza, Ghana’s Minister-Designate for Roads and Highways, has raised alarms about the massive debt left behind in the country’s road infrastructure sector, revealing that the previous New Patriotic Party (NPP) government left at least GHC100 billion in unresolved commitments.
Speaking before the Appointments Committee of Parliament on January 20, 2025, Agbodza outlined a troubling financial landscape within the Ministry of Roads and Highways. He reported that as of the date of his testimony, the Government of Ghana still had unpaid certificates totaling GHC20 billion, along with an additional GHC15 billion owed in road funds.
“From the documents presented to the transition committee, it’s clear that the NPP government has left a minimum of GHC100 billion in outstanding commitments,” Agbodza explained. “What is even more concerning is that unpaid certificates alone amount to GHC20 billion, while road funds account for GHC15 billion.”
Agbodza also revealed how a debt that started at GHC113 million in 2018 has spiraled into a staggering GHC665 million due to interest accumulation. The situation has only worsened since. In 2020, the road sector debt was GHC424 million, but with interest, that figure has ballooned to GHC1.5 billion.
“These figures are troubling,” Agbodza said. “For instance, in 2018, the debt was GHC113 million, but the interest has since increased to GHC665 million. The debt owed in 2020 was GHC424 million, and now the interest on that stands at GHC1.5 billion. How do I explain this to the taxpayers in Adaklu?”
Expressing deep concerns over the financial fallout, Agbodza emphasized that this mounting debt is unsustainable. He also proposed reforming contract management practices within the road sector to curb wasteful spending, adding, “This cannot continue.”
With the road sector debt reaching new heights, Agbodza faces a monumental challenge in addressing both the fiscal mismanagement left by the previous administration and the mounting burden on taxpayers.
Source:TheDotNews