Ghana Government Allocates GH¢2.81 Billion for Road Maintenance

The Ghana government has allocated GH¢2.81 billion for road maintenance, marking a 155.5% increase from 2024. Finance Minister Dr. Cassiel Ato Forson announced plans to uncapped the road fund and reintroduce technology-driven tolls in 2025 to boost revenue, following a suspension of tolls that worsened financial challenges in the sector.

The Government of Ghana has allocated GH¢2.81 billion for road maintenance in the upcoming budget, a substantial increase of 155.5% from the GH¢1.1 billion set aside in 2024. Dr. Cassiel Ato Forson, the Minister of Finance, announced this during his presentation of the 2025 Budget Statement to Parliament on Tuesday.

Dr. Forson also revealed plans to uncapped the road fund to enhance financial support for the road sector. Additionally, he remarked on the government’s intention to reintroduce road tolls using technology to improve revenue collection and further benefit the sector. This initiative comes after the previous administration’s suspension of toll collection in 2022.

The Minister emphasized that the suspension has negatively impacted revenue generation for road construction and maintenance. He pointed out that the demand for better road infrastructure persists, despite the sector being burdened with approximately GH¢100 billion in debt as of late 2024, including GH¢5.75 billion owed by the road fund.

Dr. Forson expressed the need for a strategic solution as previous zero-rate policies for toll collections have worsened revenue issues. He stated that the government aims to collaborate with stakeholders and the private sector to implement a technology-driven toll system as part of the Big Push Programme in 2025.

In summary, the Ghanaian government has made a significant commitment to road maintenance with an allocation of GH¢2.81 billion, a marked increase from the previous year. The plans to uncapped the road fund and reintroduce tolls aim to alleviate financial constraints in the road sector. The government acknowledges the need for strategic interventions to support road infrastructure development amid existing debts.

Original Source: www.ghanabusinessnews.com