unpaid debt – Adomonline.com https://www.adomonline.com Your comprehensive news portal Wed, 27 Mar 2024 10:36:14 +0000 en-US hourly 1 https://wordpress.org/?v=6.9.9 https://www.adomonline.com/wp-content/uploads/2019/03/cropped-Adomonline140-32x32.png unpaid debt – Adomonline.com https://www.adomonline.com 32 32 Contractors go wild over unpaid debt https://www.adomonline.com/contractors-go-wild-over-unpaid-debt/ Wed, 27 Mar 2024 10:36:08 +0000 https://www.adomonline.com/?p=2373729 Chief Executive Officer (CEO) of the Chamber of Construction Industry Emmanuel Cherry has expressed deep concern over the plight of contractors struggling over government unpaid arrears.

“Most contractors are suffering, they hardly survive because of government non-payment for the work they have done. That is the challenge we face as contractors” he lamented.

Speaking on Adom FM’s morning show, Dwaso Nsem Wednesday, Mr Cherry said the prolonged delay in payment by government has prompted contractors to suspend operations.

He indicated that, the debt has affected other sectors of the economy including the manufacturing sector such as iron roads and cement roofing sheet production, leading to a significant decline in production.

Mr. Cherry also revealed that, the cumulative outstanding amount owed by the government is over GH¢20 billion cedis.

“We are owed more than 20 billion including interest on delayed payment. COCOBOD owes contractors over 4 billion, Road Fund about GH¢6 billion, GOG 5 billion+, and Get Fund owes contractors and has paid some but since 2019 we haven’t been paid.”

“90% of contractors including their workers and professionals are still home because of delayed payment by the government. It has affected the manufacturing sector, especially iron roads and cement roofing sheeting. Their production has reduced drastically because we don’t purchase goods from them” Mr. Cherry added.

Chief Executive Officer (CEO) of the Chamber of Construction Industry Emmanuel Cherry

The CEO Chamber of Construction Industry further underscored the need for dialogue with the government in resolving the issues.

“We are yet to meet the new Minister and need a stakeholder meeting. Until we meet Minister, it will be difficult to conclude on the matter,” he urged.

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Contractors threaten to sue gov’t over unpaid debts https://www.adomonline.com/contractors-threaten-to-sue-govt-over-unpaid-debts/ Tue, 25 Apr 2023 10:54:27 +0000 https://www.adomonline.com/?p=2242773 The Chamber of Construction Industry has warned that the government could soon face legal action from a number of its members over unpaid debts.

Despite their efforts to recover payment, Chamber members have been left with no other options.

Some of the due funds stretch back to 2017, and the government’s outstanding debt to contractors has now reached a critical level of more than GH¢15 billion, according to the chamber.

The Chamber’s CEO, Emmanuel Cherry, expressed these worries to Citi News, emphasizing the critical need for a resolution to prevent further harm to the affected businesses.

He said “97 percent of contractors have packed out of site all because of government’s over GHS 15 million indebtedness to the construction industry. Government is sitting aloof as if nothing is at stake when it wants to create a Ghana beyond aid.

“We have dealt with this starvation and so members have petitioned us and the Speaker of Parliament. If nothing happens, they will go to court. There is a long-haul awaiting government. We are only strategizing; government will hear from us,” he said.

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Road contractors across the country had on several occasions lamented about government’s indebtedness to them.

Last year, the Minister of Roads and Highways, Kwasi Amoako-Atta said government would clear a “chunk” of outstanding debts owed road contractors.

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