Gov't has not spent GH¢11bn on Accra-Kumasi Expressway project — CAGD

The Controller and Accountant-General's Department (CAGD) has dismissed claims that the government has already spent nearly GH¢11 billion on the Accra-Kumasi Expressway project despite major construction works yet to begin.

The clarification follows claims circulating on social media suggesting that the amount earmarked for the project had already been expended.

According to the Department, the assertions are based on a misunderstanding of how government accounting records transfers between public institutions.

In a press release issued on Thursday, July 16, the CAGD explained that the funds allocated for the project remain in a dedicated Bank of Ghana account and have not been paid to any contractor.

"The CAGD wishes to emphasise that these funds have not been paid to any contractor or spent on construction works. They remain in the dedicated Bank of Ghana account pending project execution," the statement read in part.

The Department explained that the Accra-Kumasi Expressway is being implemented through the Accra-Kumasi Expressway Limited, a Special Purpose Vehicle established by the Ghana Infrastructure Investment Fund (GIIF) and classified as a State-Owned Enterprise.

It said Parliament approved the use of proceeds from the Annual Budget Funding Amount (ABFA) and mineral royalties in the 2025 Budget to finance the project, with the money subsequently transferred from the Consolidated Fund into the dedicated account.

The CAGD further clarified that under Ghana's Public Financial Management framework, transfers from the Consolidated Fund to State-Owned Enterprises are recorded as grant expenditure in the books of Central Government and grant revenue in the books of the receiving entity.

"It is therefore incorrect to conclude that because the transfer appears as expenditure in the accounts of Central Government, the funds have already been spent on the construction of the Accra-Kumasi Expressway," the statement noted.

The Department noted that the ongoing right-of-way clearing by the Ghana Armed Forces is a separate preparatory exercise and is not being financed from the funds allocated to the expressway project.

It assured the public that the accounting treatment applied to the project is fully consistent with Ghana's Public Financial Management framework and established government accounting standards.