The Ghana Chamber of Construction Industry is sounding the alarm over the dire situation faced by its members due to an unpaid debt of GH¢15 billion owed by the government since 2014. The Chamber claims that this debt has led to the death of some members, while others are bedridden or facing legal action from their financiers.
In a recent press briefing, Finance Minister Dr. Mohammed Amin Adam stated that the government had spent GH¢49 billion to pay contractors. However, Emmanuel Cherry, CEO of the Construction Chamber, denied knowledge of receiving such payment. Cherry painted a bleak picture of the situation, stating that contractors are facing untold hardship and health difficulties due to the government’s non-payment of the debt.
“Some contractors have died. One contractor in good standing is currently bedridden and cannot do anything. Many are also in court,” Cherry said. He explained that the payment received by contractors is often segregated into various components, including interest on loans, leaving them with a meager 5-10% of the contract sum.
The Chamber’s CEO broke down the debt, stating that GH¢6 billion is owed to contractors since 2017 from Road Fund projects, GH¢5 billion from Government of Ghana contracts since 2019, and GH¢4.4 billion from Cocoa Board (COCOBOD) road projects since 2014, among others.
Cherry expressed willingness to engage in dialogue with the government to find a solution but warned that if the situation persists, contractors would be forced to take drastic action. The Chamber has already initiated steps to address the issue, with meetings scheduled with the Works and Housing Minister and the Finance Minister.
