Over GHS5bn paid to contractors after audit validation – Roads Ministry

The Minister for Roads and Highways, Kwame Governs Agbodza, says government has paid over GHS5 billion to contractors following a thorough audit and validation exercise aimed at ensuring accountability and preventing financial losses.

His remarks come in response to concerns raised by the Ghana Chamber of Construction Industry (GhCCI) over delays in the payment of outstanding Interim Payment Certificates (IPCs), which the Chamber said were threatening jobs and stalling key infrastructure projects.

In a letter dated September 29, 2025, the Chamber accused government of failing to honour President John Dramani Mahama’s assurance that all outstanding payments would be cleared by the end of July 2025, adding that the situation had caused severe financial distress to contractors, consultants, and suppliers.

Speaking on the Citi Breakfast Show on Tuesday, October 14, 2025, Mr. Agbodza explained that the ministry deliberately took time to scrutinise and validate all payment certificates submitted by contractors during the transition period to eliminate errors and inflated claims.

“As of Friday, October 10, the Finance Minister started paying GHC5 billion owed to contractors out of the over GHC21 billion. The Auditor-General and other agencies carried out validation of payments. If we had rushed to pay, we would have thrown away part of your money,” he said.

He noted that the audit uncovered discrepancies between the amounts initially reported and the verified figures, adding that the validation saved the state from potential losses.

According to Mr. Agbodza, the ministry also discovered that contractor arrears had ballooned well beyond what was reported by the previous administration.

“At the time of transition, the previous government told us that unpaid contractor bills under the Government of Ghana (GoG) were GHC21 billion; today, I know it’s far more than that. The Road Fund indebtedness they reported as GHC5.1 billion is now over GHC8 billion,” he revealed.

He further disclosed that some GHC120 billion worth of road projects were awarded without commencement certificates or financing plans, and in many cases, contractors never even mobilised to site since 2022.

The minister assured that government remains committed to settling verified arrears and ensuring value for money in ongoing and future projects.

“We have met the contractors and assured them that government will make payments for duly executed projects. The Finance Minister has already gone to Parliament to allocate funds in the 2025 Budget to clear arrears. That’s how we were able to pay over GHC800 million for the Ofankor project, which is now back on track,” he added.

The Roads Ministry says it will continue to collaborate with the Auditor-General and relevant agencies to enhance financial discipline and transparency in the roads sector.