The Ghana Road Fund is currently indebted to contractors to the tune of over GH¢6 billion, a situation the Fund attributes to limited revenue inflows caused by the capping law.
This law, enacted in 2017, restricts the allocation of funds to various statutory bodies to a maximum of 25% of tax revenue.
During the launch of a road maintenance app, Frank Annoh-Dompreh, Chairman of the Road Fund, delivered a speech in which he urged the government to exempt the Road Fund from the capping law.
“The fund isn’t doing too well, indebted in excess of GH¢6,000,000,000 to contractors for works executed, while revenue from inflows is limited by the capping act,” Annoh-Dompreh stated.
He added that he intends to engage with the Ministry of Finance and Cabinet to push for the exemption of the Road Fund from the Earmarked Funds Capping and Realignment Act 2017 (Act 947). This, he believes, would free up funds to settle debts owed to maintenance contractors and ensure the continued upkeep of the country’s roads.
