Ghana Road Contractors Urged to Clear Debts Before New Projects - Osei Nyarko Advice (2025)

Bold move: clear road-contractors’ debts first, then award new projects. That’s the stance of Kennedy Osei Nyarko, the Ranking Member of Parliament’s Roads and Transport Committee, who urges the government to settle outstanding arrears before approving any fresh roadworks.

Speaking on JoyNews’ Top Story on Tuesday, December 2, Nyarko voiced serious concerns about a ballooning debt total near GH₵40 billion, even though the 2026 Budget allocates GH₵5.3 billion to the Ministry of Roads and Highways.

Nyarko criticized the government’s current “pay a little at a time” approach, calling it unsustainable. He noted that the delayed-payment arrangement has driven some contractors to invoke contractual penalties, with charges sometimes escalating to up to three times the original amount.

“This situation is worrying. There must be a clear strategy on how to deal with this,” he asserted.

His proposed remedy was straightforward: first, clear all outstanding debts, then strictly follow the annual road budget. He insisted that no new contracts or projects should be awarded without secured funding.

“Clear them, then after that we go strictly by our budget. If there is no money, we won’t give any contract or project without funding. That is the only solution,” he stated.

Nyarko also suggested a contingency plan: if fiscal space remains tight and new road construction cannot be undertaken, the focus should shift to rigorous road maintenance to protect existing infrastructure.

“We need to pay critical attention to road maintenance because if the government is not going to commit the state to constructing new projects, then the state has to maintain the existing roads,” he added.

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Ghana Road Contractors Urged to Clear Debts Before New Projects - Osei Nyarko Advice (2025)
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