Kwame Agbodza, Minister-Designate for Roads and Highways, has called for a comprehensive review of the current system for awarding road contracts in Ghana.
Appearing before Parliament’s Appointments Committee on Monday, January 20, Mr. Agbodza stated, “Our way of awarding road contracts has to be reviewed.”
He highlighted concerns about the lack of clarity in how projects are financed and urged the government to reassess its approach.
“The government needs to take a step back to determine whether it is appropriate to keep awarding projects when no one knows how they will be funded,” he said, emphasizing the need for collaboration with industry players, contractors, and awarding agencies to ensure a more sustainable process.
Mr. Agbodza also cautioned against the financial burden posed by unpaid road contracts, pointing to compounding interest on borrowed funds as a pressing issue.
“The Finance Ministry must address the unsustainable interest compounding on monies spent on road projects,” he warned.
He stressed that the government must focus on ensuring it can pay for projects it undertakes, adding that a clear strategy is essential to restore fiscal discipline in the sector.
