The Ghana Road Fund owes contractors over GH¢6 billion. The fund attributes this debt to the limited inflows resulting from the capping law.
In 2017, a law was enacted by parliament to restrict the allocation of funds to various statutory funds to a maximum of 25% of tax revenue.
During the launch event of the road maintenance app, Chairman of the road fund Frank Annoh-Dompreh in a speech read on his behalf called for the road Fund to be exempted 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 whilst revenue from the inflows is limited by the capping act.”
“I intend to engage with the ministry of finance and cabinet to consider exemption of the road fund from the earmarked fund capping and realignment act 2017 (947) to make funds available to support this initiative and to free our debts to maintenance contractors to enable them to continue to work on the roads,” he stated.
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