During his vetting by Parliament’s Appointments Committee on Monday, January 20, the Roads and Highways Minister-designate, Governs Kwame Agbodza, unveiled concerning details about the nation’s financial obligations.
He revealed that the outgoing government is leaving behind an alarming debt commitment of at least GH¢113 billion. Among the most pressing concerns, Agbodza highlighted GH¢20 billion worth of unpaid certificates, which he described as a significant financial strain on the state.
“The government has accumulated unpaid certificates amounting to GH¢20 billion,” Agbodza stated, emphasizing that this poses a serious challenge to the incoming administration.
Even more troubling, according to Agbodza, is the interest burden tied to these commitments. He disclosed that the accrued interest on the GH¢113 billion debt has surged to GH¢665 million, a figure he attributed to the nature of the contracts involved. These agreements, he explained, have led to a significant accumulation of interest over time, further compounding the fiscal challenges.
The Minister-designate called for immediate attention to these financial issues, warning that failure to address the unpaid certificates and escalating interest rates could worsen the country’s economic woes.
“At the transition committee as of today, the NPP government is leaving a minimum of GH¢113 billion in commitments,” he said. “What we should be worried about, though, is that in that same document, they are saying that certificates unpaid as of today from the Government of Ghana amount to about GH¢20 billion. More worrying is that the interest on this GH¢113 billion is GH¢665 million due to the nature of the contracts.”
Agbodza urged the incoming administration to prioritize tackling these financial obligations, describing them as an immediate and critical challenge for the nation’s fiscal stability.
SOURCE: http://dew360.net
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