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GH¢21bn Debt Cripples Road Projects as Ministry Pushes for Sustainable Funding

Prosper AGBENYEGA by Prosper AGBENYEGA
August 21, 2025
Reading Time: 2 mins read
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Ghana’s road sector is reeling under a debt burden of more than GH¢21 billion, leaving countless projects abandoned and contractors cash-strapped, the Ministry of Roads and Highways has revealed.

Deputy Minister Alhaji Alhassan Sayibu Suhuyini told the Public Accounts Committee (PAC) on Wednesday that the accumulated arrears — covering several years of unpaid work — have brought road construction across the country to a near standstill.

“This staggering debt has forced many contractors to suspend work. The situation is not just about unfinished roads; it is about disrupted livelihoods, rising transport costs, and stalled economic activity,” Suhuyini stressed.

The Deputy Minister, who is also the MP for Tamale North, said the ministry has begun a comprehensive validation of claims to establish the true level of indebtedness to contractors. The aim, he noted, is to ensure transparency and pave the way for a sustainable repayment plan.

Contractors have long complained of delayed payments, rising material costs, and bureaucratic hurdles, factors that have compounded their inability to complete projects.

Earlier this year, the Mahama-led government announced a GH¢13 billion arrears clearance plan, with GH¢4 billion expected to be released by July 2025. While contractors welcomed the promise, many insist that a dedicated Road Fund is essential to break the cycle of ballooning debts and abandoned works.

“The lesson is clear,” Suhuyini told the Committee. “We need reliable, ring-fenced financing for our roads. Without that, every government risks inheriting the same crippling burden and passing it on.”

For now, the road sector remains at a crossroads — with projects stalled, transport disrupted, and billions in arrears casting a long shadow over one of Ghana’s most critical infrastructure needs.

Tags: CripplesGH¢21bn DebtMinistryPushesRoad ProjectsSustainable Funding
Prosper AGBENYEGA

Prosper AGBENYEGA

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