Roads and Highways Minister-designate alleges interest on GH¢113m road debt has ballooned to GH¢665m
Roads and Highways Minister-designate alleges interest on GH¢113m road debt has ballooned to GH¢665m
The Roads and Highways Minister-designate, and Adaklu Constituency in the Volta Region on the ticket of the National Democratic Congress (NDC), Mr. Governs Kwame Agbodza, says the country has to chough GH¢665m to service its debt obligations in the road sector.
Answering questions from members of the Appointments Committee of Parliament on Monday, January 20, 2025, when he appeared before them for his vetting, Mr. Agbodza disclosed that the Akufo Addo government left behind a minimum of GH¢113 billion in commitments.
However, the most concerning figure he pointed out was the interest on this debt, which has ballooned to a staggering GH¢665 million.
According to him, one of the most pressing concerns is the GH¢20 billion in unpaid certificates.
“At the transition committee as of today, the NPP government is leaving a minimum of GH¢113 billion commitments. What we should be worried about though is that in that same document, they are saying that the certificate unpaid as of today from the Government of Ghana amounts to about 20 billion, and more worrying is that the interest on this GH¢113 is GH¢665m due to the nature of the contracts,” he added
Mr Agbodza explained that this figure presents a significant challenge for the incoming administration, noting that it represents a substantial burden on the state’s finances.
The Roads and Highways Minister-designate attributed the current state of affairs at the road ministry to the nature of the contracts associated with the debt, which have accumulated substantial interest over time.
The Minister-designate called for urgent attention to this matter, expressing his concern over the growing financial strain.
He stressed the importance of addressing these unpaid certificates and the high interest rates to prevent further fiscal challenges for the country.
