Government Releases GH¢23.1 Billion to Pay Road Contractors and Clear Arrears

The Government has released GH¢23.1 billion as of the end of July to settle outstanding payments owed to road contractors and fund projects under its Big Push infrastructure programme, according to Roads and Highways Minister Kwami Governs Agbodza.

The Minister disclosed this during President John Dramani Mahama's inspection of the Navrongo-Chuchuliga-Tumu Road project in the Upper East Region, part of the President's two-day Resetting Ghana Tour. Agbodza emphasised that the majority of the funds released have gone towards clearing accumulated arrears from previous administrations.

"In fact, the bulk of that amount is arrears. So, you will be on record as the President who paid the largest portion of arrears under any government in our history," Agbodza stated, highlighting what the government views as a significant effort to address long-delayed payments to contractors.

Infrastructure Push Across Regions

The Roads Minister stressed that the current administration is not simply completing inherited projects but is also launching new infrastructure initiatives. He noted that the Upper East Region, like every region across Ghana, is receiving attention to address road deficiencies that have affected communities for years.

"In every constituency and every district, issues roads are being addressed," Agbodza explained, adding that contractors are expected to return to work sites in the coming months to resume stalled projects. The government has expressed confidence that the Navrongo-Chuchuliga-Tumu road, being constructed by MyTurn, will be completed ahead of schedule.

The Navrongo-Chuchuliga-Tumu road is a critical transport corridor, linking Bolgatanga, the Upper East Regional Capital, to Wa, the capital of the Upper West Region. When completed, the project will improve connectivity between the two regions and facilitate trade and commerce.

Why It Matters for Ghana

Road infrastructure remains one of Ghana's most pressing development challenges, with contractors across the country facing severe cash flow difficulties due to accumulated government debts. These arrears have stalled projects, left communities stranded with inadequate transport links, and contributed to poor maintenance of existing roads.

The disbursement of GH¢23.1 billion represents a substantial commitment to addressing this backlog. For Ghanaians in rural and remote areas, improved road networks directly impact access to education, healthcare, and markets. In the Upper East Region specifically, better roads reduce travel time and transport costs for farmers and traders, potentially boosting economic activity in one of Ghana's less-developed regions.

However, the real test will be whether these funds lead to sustained project completion and whether the government can maintain momentum in settling future arrears to prevent the recurrence of the payment crisis that has plagued the sector for years.