Posted: Wednesday 16th April 2014 at 14:06 pm

Dev’t projects stall in NR over delays in contract payments

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Some contractors in the Northern Regional capital Tamale, are reported to have abandoned several projects started by the assembly, due to lack of funds.

The District Assemblies Common Fund is the major source of funds for most of the assemblies in the area especially the newly created ones because, they are unable to raise their own resources to sponsor their projects.

Joy News’ Northern Region correspondent Martina Bugri reports development activities have been stalled as a result of the lack of funds by the assemblies.

She said schools, clinics and market projects have stalled because contractors have become disinterested in projects linked to the common fund.

Mr Ibrahim Abdul, the Chairman of the development sub-planning committee said the delay distorts the planning and execution of projects in the assembly.

“As you know the Common Fund is a major source of funding for the assemblies and usually when you are planning for projects and programmes it is part of it and so when at the end the common fund delays it distorts so many projects,” he explained.

“In fact contractors are even disinterested in taking up projects under the District Assemblies Common Fund”.

He said the contractors have become increasingly aware that when they execute projects funded by the Common Fund they would either not be paid or that there will be unnecessary delays in the payment which would in the long run affect the value of the amount.

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