March 24, 2025

Ablakwa Accuses DRIP Contract of Being Inflated by Over $100 Million

0
Ablakwa2

Samuel Okudzeto Ablakwa, who has been nominated as Ghana’s Minister for Foreign Affairs, has called on President John Dramani Mahama to reassess and renegotiate the financial terms of the District Road Improvement Programme (DRIP), a project launched in August 2024. Ablakwa raised serious concerns about the initiative’s inflated costs during his vetting session by Parliament’s Appointments Committee on January 31, 2025, highlighting that the program’s financial mismanagement could potentially result in an overpayment of more than $100 million.

The DRIP initiative was introduced as a major infrastructure development project aimed at improving road construction and maintenance across the districts of Ghana. It also sought to empower Metropolitan, Municipal, and District Assemblies (MMDAs) by providing them with modern road construction machinery and offering technical training for local authorities to enhance their capacity to maintain and develop roads independently. Despite these well-intentioned objectives, Ablakwa contended that the financial execution of the project was far from efficient and that the inflated cost of the project had wasted substantial public funds.

In his statements, Ablakwa underscored that only 25 percent of the total cost of the project had been paid thus far, indicating that there was still room to renegotiate the financial terms and rectify the situation before the full amount was settled. He stressed the importance of taking swift action to address the issue, as the current financial mismanagement risks straining the country’s resources, which could be better allocated elsewhere.

“Fortunately, only 25 percent of the payment has been made, and a substantial portion of the project’s financial obligations remains outstanding. I’ve urged the new administration under President Mahama to renegotiate the terms of the DRIP initiative to save the country’s funds. My conservative estimate suggests that the project has been inflated by over $100 million, and that is an amount that could make a significant difference in a country that is currently looking for an IMF bailout,” Ablakwa said during his vetting.

He further elaborated on the positive impact that the recovery of such inflated funds could have on other critical sectors of the country’s economy. Ablakwa highlighted the need to redirect the saved amount toward areas such as education, healthcare, and social intervention programs, all of which are facing financial strain. He noted that Ghana’s ongoing economic challenges made the recovery of such a substantial amount vital for addressing the needs of its people, particularly in these areas that have long been underfunded.

The DRIP initiative, originally conceived as a transformational program to decentralize road maintenance, empower local authorities, and generate jobs in the process, has faced criticism over its execution. Ablakwa’s revelations raised serious concerns about the oversight of the project and the failure to manage public funds effectively. As a result, he called for a thorough investigation and revision of the financial terms, so that the program could continue its intended goals without compromising the country’s finances.

While the DRIP program was designed to decentralize responsibility for road maintenance and equip local authorities with the necessary resources to manage and develop infrastructure in their respective districts, the inflated costs attached to it could undermine its long-term success. The concerns raised by Ablakwa suggest that instead of boosting local capacity and improving infrastructure, the project may inadvertently be diverting public funds into inefficient and unaccountable management.

Ablakwa’s comments highlighted the broader issue of financial mismanagement in government projects and the need for better financial accountability and transparency in public sector initiatives. He expressed hope that under President Mahama’s leadership, the government would take the necessary steps to renegotiate the terms of the DRIP project and ensure that the funds allocated for critical infrastructure were spent efficiently.

Samuel Okudzeto Ablakwa’s call for a renegotiation of the DRIP initiative reflects the growing concerns about the need for improved financial oversight in Ghana’s public sector projects. With only 25 percent of the project’s costs paid thus far, he believes there is a significant opportunity to recover funds that can be better utilized to address pressing issues in sectors such as education, healthcare, and social welfare, which are vital for the country’s future development. The renegotiation of the DRIP initiative presents an opportunity to optimize public spending and align it with the country’s broader developmental goals.

About The Author

Leave a Reply

Your email address will not be published. Required fields are marked *