Business News of Sunday, 2 July 2017
A Deputy Minister of Roads, Kwabena Owusu Aduomi has revealed the money in the Road Fund account is not enough.
In an interview with an Accra based Citi FM, he said the money could not cater for ongoing projects.
There have been calls for government to move in and rehabilitate deteriorating roads with some communities staging demonstrations , but Mr Aduomi said there was not enough funds in the Road Fund.
“The Ministry secured a loan of GHc1.2 billion from UBA. The repayment is such that every quarter, the Ghana road fund has to pay GHc206 million. Our projection is that for every quarter the fuel levy provides about GHc240 million to the fund so when you take 206 from 240, then we are left with about 34. So it means that less than GHc40 million every quarter that the road fund will get to finance road projects. So the predicament is that we will not get enough funds to pay for all numerous ongoing projects,” he added.
According to him, the situation has been worsened by the former government’s decision to award numerous road contracts in the last quarter of its administration.
“The GHc600 million that he [the former road minister] said was in the fund, before he left office he approved project payments of over GHc300 million,” Mr. Aduomi said