A Deputy Minister of Finance, Abena Osei Asare, has disclosed that the government has started paying off road contractors based on the value of their Interim Payment Certificates (IPCs).
This is coming after some road contractors halted their assigned projects due to the delay in releasing funds.
The deputy minister said the government will pay contractors owed below GHC1 million fully.
However, those with IPCs of GHC1 million and above will receive a payment of 40% of the value.
Her comments come after several complaints from contractors about the lack of funds to complete road projects.
The public has also complained several times about the poor nature of road networks in their communities.
Speaking on Accra-based Joy FM, the Deputy Minister said the IPCs are a part of the government’s effort to boost economic activities and develop road networks across the country.
“Government has recognised the huge infrastructure needs in the road sector and is doing everything possible within its limit to look for sources of funds to reduce the chunk of debt on the road sector,” she said.
According to the Ministry of Roads and Transport, Ghana has approximately 72,00km of roads. Only 23% of these roads are asphalted with 39% in good condition and 61% classified as fair or poor.
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