…To retrieve US$30 million Tamale-Walewale Road project cash
The Minister for Roads and Highways, Kwame Governs Agbodza, has revealed that the Mahama government, is seeking to recover nearly US$30 million paid to an Indian contractor for the Tamale–Walewale dual carriageway project, despite only 1percent of the work being completed. The Attorney-General is said to be looking into the matter.
Speaking in Parliament on Thursday, June 5, 2025, Mr Agbodza, expressed deep concern over the substantial payment made to the contractor whose name he declined to mention.
However, The Herald’s findings were that JMC Projects (India) Limited, is the firm awarded the contract for the 83-kilometre road project, which was expected to be completed in 2025 and funded by the Exim Bank of India.
The project, launched in June 2022 by then-Vice President Dr Mahamudu Bawumia, appears to have stalled entirely. Since commencement, barely any site clearing has been done.
According to the Minister, a technical assessment has shown that just 1% of the work has been carried out. Despite this, the contractor has already received US$29,648,180 out of the total project cost of US$158,617,764.
To compound matters, the same contractor is now reportedly demanding an additional US$14 million to terminate the contract, while seeking to retain the initial payment.
“As a Roads Minister, knowing that I owe Ghanaian contractors over GH¢21 billion for work they have genuinely done, it is quite disheartening that at the same time we are unable to pay Ghanaian contractors, we have paid somebody $30 million. And the person is basically asking us to let him go with our $30 million,” Mr. Agbodza stated, highlighting the stark disparity in resource allocation and accountability.
The Minister, strongly affirmed the government’s intention to recover the funds, stating, “We shall use the laws of this country to demand either that US$30 million worth of work is executed or take legal action to retrieve it,” signalling a looming legal battle.
Then-Vice President, Dr Mahamudu Bawumia, ceremoniously launched the project in question in June 2022.
The revelation that nearly $30 million has yielded only 1percent progress underscores broader concerns about contract management, value for money, and oversight in public infrastructure delivery.
It raises pressing questions about accountability and the protection of taxpayer funds in the face of significant national debt and widespread infrastructure needs.
The government’s immediate focus will now be on implementing legal strategies to either compel the contractor to execute work commensurate with the payments received or recover the substantial public funds.
In June 2022, Dr Bawumia, cut sod for the construction of an 83-km Tamale-Walewale Road Project Phase 1 at Walewale in the North East region.
JMC Projects (India) Limited is the contractor for the Tamale—Walewale dual carriageway project, which is fully funded by the Exim Bank of India and expected to be completed in 2025.
The project route, known as the N10 road, will provide connectivity between farms, markets, and commercial centres to promote the agricultural development of commodities in the northern and northeastern regions.
At the time, it was thought that the road would be vital to providing access to Bolgatanga and other parts of the Upper and Upper West regions with the expansion of Tamale Airport.
The project section started beyond the urban area of Savelugu and passes through towns like Nasia and Walewale. It was designed as a 2-lane carriageway with a 2.5m paved shoulder on both sides for 81 km and a dual carriageway within the Walewale township with an overpass at the Bogiya junction.
The dual carriageway was to be 2 km long, while existing bridges in good condition were to be retained. Minor repairs and existing culverts in good condition were to be widened with street lighting provided in built-up sections. Road markings and furniture would be provided as per the provision, and roadside facilities like bus bays, wayside amenities, and a toll plaza would be provided.
Dr Bawumia, at the sod-cutting ceremony, said the Tamale-Paga road was initially constructed in 1991 with support from the government of Japan and that, given its economic importance, the government of Ghana took steps in maintenance interventions to improve various sections of the road.
“After 30 years of the construction of the road we are here to cut sod for a major reconstruction and upgrade of sections of the road.”
He indicated that the Tamale-Walewale Road project, aims to enhance inter-urban regional and national trade, strengthen regional economic integration, and reduce the cost of doing business in the country.
According to him, sections of the road in Walewale, will be dual carriageways with all safety measures.
Dr Bawumia, revealed that the Walewale-Nalerigu intersection will be upgraded separately into an interchange.
He noted that the Akufo-Addo government was undertaking various infrastructure projects across the country, particularly in the North, adding that it would enhance safety, boost trade, improve accessibility, and reduce accidents.
“Since 2021, a total of 710 asphalt overlays of roads have been undertaken throughout the country,” he said.
The Vice President, urged the Ministry of Roads and Highways to ensure adequate traffic management equipment is provided during construction to reduce the inconvenience the work will cause motorists.
The then-Minister for Roads and Highways, Kwasi Amoako Attah, assured residents in the North East and North regions that affected persons during the construction of the Tamale-Walewale Road project will be compensated adequately.
Amoako Attah, also disclosed that 30 per cent of the Tamale-Walewale road project, will be given to two local contractors and appealed to residents to cooperate with the contractor to complete the project on time.
Mba Tarana John Gumah, who read a speech on behalf of the King of Mamprugu, Nayiri, Naa Bohigu Abdulai Mahama Sheriga, thanked President Akufo-Addo and Vice President Dr. Mahamudu Bawumia for the Tamale-Walewale Road project and the numerous developmental projects across the North East region, adding that the region has gotten its share of the national cake.