The proposed Accra-Kumasi Expressway project in Ghana has sparked public discussion about its financing model, with some believing it to be a new initiative. However, Eric Akwetey Addo, a writer, argues that the model is not new. According to him, a similar framework was introduced and applied during the second term of President Nana Addo Dankwa Akufo-Addo. The framework involved establishing a special purpose vehicle (SPV) under the Ghana Infrastructure Investment Fund (GIIF) to execute the Accra-Tema Motorway project.
Under the earlier arrangement, the Ministry of Finance (MoF) worked with the Ministry of Roads and Highways (MoRH) to establish the framework for financing highway infrastructure. An SPV, Accra-Tema Motorway Expressway Limited (ATEL), was established under GIIF, and a board was constituted with a Chief Executive Officer (CEO), Loius Harrison, appointed. The MoRH awarded the motorway contract under this framework, and a dedicated account was established at the Bank of Ghana (BoG), mainly funded through the Annual Budget Funding Amount (ABFA) derived from Ghana's petroleum revenue.
The purpose of this model was to minimize political interference in expressway construction and encourage domestic pension funds to regard such infrastructure projects as credible, long-term investments. The motorway was expected to be tolled, with Parliament preparing to pass a new law once the road was completed. Although ATEL still has a sitting CEO, progress on the motorway project slowed after the change in government and the assumption of office by a new Minister for Finance under the NDC.
The Accra-Kumasi Expressway is now being presented under a similar structure, with a new CEO appointed and the military asked to clear the right of way. However, no board for the project has been publicly identified. ATEL could have executed the Accra-Kumasi Expressway, particularly after gaining experience from the motorway project. The decision to establish another structure raises questions about institutional continuity, public accountability, and the proper use of existing arrangements.
A toll has reportedly already been announced for the Accra-Kumasi Expressway without parliamentary approval, estimated at US$20, even though the contract has yet to be awarded. The Minister for Finance and his team have announced that dedicated funds have been placed at the BoG for the Accra-Kumasi Expressway, as if this were the first time such a financing arrangement had been developed. They have stressed that the Accra-Kumasi Expressway is being financed without external borrowing.
The central question is not whether Ghana should construct the Accra-Kumasi Expressway, but rather whether citizens are being given an accurate account of who developed the financing model, what has already been implemented, and why the existing SPV is not being used. The public is entitled to know what has become of the original structure and why the current administration is presenting the same basic financing concept as a new initiative.
National development requires honesty, and the truth will ultimately be established by the available records. The issue is not about whether Ghana needs better roads and reliable expressway infrastructure, but about transparency and accountability in the management of public projects. The available records will shed light on the matter, and citizens are calling for leadership that prioritizes honesty and transparency.
Key points
- The proposed Accra-Kumasi Expressway financing model is not new, but rather a repeat of a framework introduced during Nana Addo Dankwa Akufo-Addo's second term.
- The framework involves establishing a special purpose vehicle (SPV) under the Ghana Infrastructure Investment Fund (GIIF) to execute the project.
- The public is calling for transparency and accountability in the management of the Accra-Kumasi Expressway project.
