The Minister for Roads and Highways, Hon. Kwame Governs Agbodza, has revealed that government has released about GHS 5 billion to settle part of the arrears owed to road contractors across the country.
He said the payment followed a detailed audit and validation process carried out by the Ministry of Finance and the Auditor-General to verify the authenticity of claims submitted by contractors.
Speaking in an interview, Hon. Agbodza explained that the government took its time to ensure due diligence was followed before disbursing funds to contractors.
“As of Friday, October 10, the Finance Minister, Dr. Cassiel Ato Forson started the payment of about GHS 5 billion owed to contractors out of the over GHS 21 billion. The process was that the payment request may not be as it is”
Minister for Roads and Highways, Kwame Governs Agbodza
He noted that rushing through the process without verification could have resulted in the loss of public funds.
“The Auditor-General and others carried out some validation of payments. If we had rushed to pay, we would have thrown away part of your money. Because during the validation, the amount we were told we owed is not exactly so”
Minister for Roads and Highways, Kwame Governs Agbodza
The minister’s comments come amid growing pressure from the Ghana Chamber of Construction Industry (GhCCI), which recently raised concerns over delays in releasing funds to settle outstanding Interim Payment Certificates (IPCs).
The Chamber, in a letter dated September 29, 2025, and addressed to Mr. Agbodza, accused government of reneging on its promise to clear all arrears by the end of July 2025 as assured by President John Dramani Mahama.
In the letter, the Chamber warned that the prolonged delay was crippling operations within the construction sector, threatening thousands of jobs and halting progress on several key infrastructure projects nationwide.
“The continuous delay in payment has caused severe financial strain on contractors, consultants, suppliers, and other stakeholders in the construction value chain”
Ghana Institution of Engineers and the Chamber of Construction Industry
Audit and Validation Process
Responding to these concerns, the Roads and Highways Minister assured the Chamber and the public that the ministry remains committed to clearing all verified arrears.
However, he stressed that payments will only be made after thorough validation to ensure accountability and protect public resources.
“We inherited arrears of over GHS 40 billion owed to road contractors alone. Some of these debts date back several years and were not backed by proper documentation. We can’t just rush and pay everything without confirming their authenticity”
Minister for Roads and Highways, Kwame Governs Agbodza
Hon. Agbodza explained that part of the challenge stems from certificates raised during the previous administration without adequate budgetary allocation or parliamentary approval.
According to him, the validation process revealed several discrepancies in the figures initially presented by some contractors.
“When we began the review, we noticed that the actual amount owed was not exactly what was reported. That is why we took time to audit every claim, project by project”
Minister for Roads and Highways, Kwame Governs Agbodza
The Minister further disclosed that while GHS 5 billion has been paid so far, efforts are ongoing to mobilise additional resources to clear the remaining arrears. He said the government is exploring various financing options, including the use of the Ghana Infrastructure Investment Fund (GIIF), to accelerate payment. “The intention is not to frustrate contractors but to ensure transparency. We are committed to paying everyone who is genuinely owed,” he added.
The Ministry of Roads and Highways has also begun working with the Ghana Institution of Engineers and the Chamber of Construction Industry to establish a digital platform for tracking payment requests and validating contractor certificates in real time.
Hon. Agbodza said the initiative is aimed at reducing delays, improving communication between contractors and the ministry, and preventing the accumulation of fresh arrears in future.
He also urged contractors to exercise patience, noting that the government’s priority is to restore confidence in the construction sector while maintaining fiscal discipline.
“We understand the frustration of contractors who have not been paid, but we must do this right. This is public money, and we owe it to Ghanaians to ensure every cedi is accounted for”
Minister for Roads and Highways, Kwame Governs Agbodza
The Ministry of Roads and Highways has reaffirmed its commitment to transparency, fiscal responsibility, and the completion of ongoing infrastructure projects across the country as it continues to engage stakeholders in addressing the funding challenges within the sector.
READ ALSO: Broadcaster Condemns Silence Surrounding School Sexual Molestation
