Deputy Roads Minister says Ministry has no funds to finish projects

Deputy Roads Minister says Ministry has no funds to finish projects

- Dep Minister for Roads says Roads Ministry has no money to fund new road projects

- Says most of its funds will be used to pay back loan from UBA

Mr. Kwabena Owusu Aduomi, Deputy Minister for Roads, has stated that the Roads Ministry may not be capable of funding new road projects simply because it does not have the necessary funds.

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Deputy Roads Minister says Ministry has no funds to finish projects

Mr. Kwabena Owusu Aduomi

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Amidst calls for government to pay more attention to deteriorating roads in Accra, the capital city, as wells as other major cities, Deputy Minister for Roads, Mr. Kwabena Owusu Aduomi has indicated that the ministry's Roads Fund will need more money if it is expected to fund all maintenance and road projects.

Speaking to Citi FM, Mr. Aduomi pointed out that his ministry had clinched a loan of GHC 1.2 billion from United Bank of Africa (UBA). According to the loan agreement, the Ghana Roads Funds is supposed to payback UBA GHC 206 million every quarter. He [Mr. Kwabena Owusu Aduomi] stated that projections had it that government's fuel levy would provide the Roads Fund the amount of GHC 240 million every quarter.

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"...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,” said Mr. Aduomi.

Mr. Aduomi added that the erstwhile National Democratic Congress (NDC) administration's decision to award numerous road contracts hasn't made the situation any better.

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.

Other than government's levy on petrol, diesel and refined oil, Ghana's Road Fund is also funded from road, bridge, and ferry collections. Alternately, it also receives funds from transit fees.

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Source: Yen.com.gh

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