Stalled Road Projects Resume as Debt Restructuring Nears Completion

The Ministry of Roads and Highways has confirmed that nearly all road projects that stalled under the Domestic Debt Exchange Programme (DDEP) are being reactivated, signaling a major turnaround for contractors and relief for road users across the country.

Roads Minister Kwame Governs Agbodza announced on Monday, January 6, 2026, that projects previously affected by the debt restructuring are now being resumed following the near completion of Ghana’s debt exchange exercise. Speaking on Citi FM’s Breakfast Show, he stated that the government is almost 100 percent through with the debt restructuring.

“We are almost 100 per cent through with the debt restructuring. So, almost all the roads that were stalled because of the debt restructuring are now being reactivated,” Agbodza said, highlighting the government’s progress in resolving funding challenges that had delayed critical infrastructure projects.

The minister cited the Pokuase to Amasaman road and other key roads across the country as examples of works now being reactivated. He explained that several critical infrastructure projects had been stalled under the previous administration due to financial constraints linked to the debt exchange programme.

According to Agbodza, the delays were not due to contractor incompetence but stemmed from funding constraints imposed by the DDEP, which restructured how government obligations to bondholders and contractors were managed. The debt exchange programme, implemented in 2022 under the Akufo Addo administration, saw Ghana restructure domestic debt to address an escalating debt crisis.

The minister’s announcement comes as the government ramps up road construction activities across the country in 2026, with President John Dramani Mahama committing resources for significant infrastructure improvements. Agbodza revealed that most road projects for the year have already been awarded, with the ministry now focusing on supervising contractors and ensuring quality standards.

“The President has committed to Ghanaians to improving roads across the country. You have heard him whenever he goes to meet stakeholders, talking about the networks to be improved,” the minister stated. He explained that the ministry has already received necessary resources to execute these projects, placing responsibility on his office to ensure planned works are delivered effectively.

Parliament approved 5.3 billion cedis for the Ministry of Roads and Highways for the 2026 financial year in December 2025, marking a key step in the government’s push to expand and modernize Ghana’s road network. The allocation forms part of a broader infrastructure drive targeted at strengthening nationwide connectivity.

However, during the December budget debate, Agbodza expressed concern that the approved allocation is far below the ministry’s actual needs. He disclosed that the ministry is currently overseeing road projects valued at over 110 billion cedis, describing the allocation as woefully inadequate given the scale of ongoing works.

“I agree with my colleagues on the 5 billion, but the 5 billion allocated is not enough. Though it may sound like one of the biggest allocations, it is not enough at all,” the minister emphasized. Alongside the approved amount, government has earmarked 30 billion cedis in oil revenue under the Big Push Programme to support major road development projects across the country.

The Big Push Programme aims to construct 5,000 kilometers of roads in over 160 districts across the country where studies show the existence of impassable roads. Agbodza confirmed in July 2025 that the Ministry of Finance has issued commitment authorizations for the construction of several road projects under the National Democratic Congress’s flagship initiative.

The minister has also announced that the government will intensify monitoring to guarantee delivery of durable roads while warning that overloading on the network could undermine investments. “If we spend all this money to build or rehabilitate the roads, and allow overloading, the roads will not last,” Agbodza cautioned during another segment of his Citi FM interview.

He announced plans to launch a stakeholder driven campaign to curb overloading on the road network, emphasizing that proper construction alone is not enough to guarantee road durability. Responsible use by transporters and motorists is equally important, according to the minister.

“Fortunately, the core of the projects has now been awarded, and it is time for us to now focus on the contractors and the consultants to ensure that they do good work for us to get value for money, considering the investments we are putting into road construction,” Agbodza stated.

The minister conducted inspection tours of various road projects across multiple regions in April 2025, covering the Bono East, Ahafo, Western and Western North Regions. During these tours, he reaffirmed the government’s commitment to the Big Push agenda and announced that contracts under the initiative would be awarded by June 2025, with work expected to commence thereafter.

Among the roads inspected were the reconstruction of Jinijini to Sampa Road network, the rehabilitation of Benchema Barrier to Juaboso Road, Sefwi Wiawso town roads, dualization of Takoradi to Agona junction, and the construction of selected roads and interchanges in Ghana Phase 1, Lot 4 (PTC Interchange).

During the April inspections, Agbodza expressed disappointment in the alarming deterioration of some sections of the newly reconstructed Tarkwa to Agona Nkwanta stretch. The 66 kilometer stretch, constructed at a cost of 95 million Euros, has shown signs of damage in less than two years, underscoring the minister’s concerns about road durability and proper maintenance.

The government’s selection of contractors has emphasized local expertise and resources, with many Ghanaian contractors involved in the ongoing projects. According to Agbodza, selected contractors have undergone thorough orientation to ensure they meet quality standards, with President Mahama urging all participants to deliver their best work.

As the debt restructuring exercise nears completion, road contractors who faced payment arrears can now resume operations with renewed confidence that funding constraints will be addressed. The reactivation of DDEP stalled projects represents a crucial step toward improving Ghana’s road infrastructure and easing transportation bottlenecks across the country.

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