The Chamber of Construction Industry is calling on the government to settle huge unpaid bills owed to local contractors.
Emmanuel Cherry, the Chief Executive Officer, revealed that the Road Maintenance Trust Fund still owes builders over GH₵7 billion, a debt that is pushing many businesses to the brink of collapse.
Mr. Cherry acknowledged some small steps forward but stressed that the ongoing delays are crushing the industry.
He explained that the debt continues to grow because of mounting interest. While the government recently released some funds, the amount barely scratches the surface of what is actually owed.
“When it comes to Road Trust Fund, we have a challenge in there. Over GH₵8.2 billion is owed to contractors, but so far, a little above GH₵1 billion was paid between January and February. But the issue is once payment delays, interest is accrued on it,” he said.
The government currently plans to pay another GH₵1.6 billion, but Mr. Cherry argues this isn’t enough to save the struggling contractors. He is pleading for the government to increase that payment to GH₵2.6 billion to truly relieve the pressure.
“As of now, the government has promised to pay around GH₵1.6 billion and even though it is a good decision, it is still low. So, it is our plea that the government would increase it to around GH₵2.6 billion to reduce the pressure on the contractors because the amount is just a drop.”
Mr. Cherry warned that when contractors aren’t paid, the entire economy suffers, affecting everyone from banks to manufacturers.
He pointed out that even when the government announces payments, the contractors themselves rarely see the cash.
“This money will just be a drop, and people will hear that contractors have been paid, but not even a penny of this money will go into their pockets because they owe banks and once the money hits the account, it is deducted,” he said.
