Government has approved the transfer of GH¢4.35 billion in cocoa road liabilities from the Ghana Cocoa Board (COCOBOD) to the Ministry of Roads and Highways and the Ministry of Finance, following a major rationalisation exercise.
Speaking on the move, Finance Minister Dr. Cassiel Ato Forson said, “Cabinet has directed that the liabilities of the GH¢4.35 billion be transferred to the Ministry of Roads and Finance for payment.”
Dr. Forson explained that a joint review by the Ministries of Finance and Roads and Highways successfully reduced the liabilities from GH¢21.7 billion to GH¢4.35 billion.
He noted that road construction had accounted for a significant part of COCOBOD’s financial challenges.
“From 2014 to 2024, Cocoa Board owed cocoa contractors billions under cocoa road contracts, with 21.5 billion Ghana cedis of contracts awarded between 2018 and 2021. The rationalisation exercise has now been completed to reduce exposure and restore financial stability,” Dr. Forson said.
He further highlighted that the transfer is part of broader reforms aimed at strengthening COCOBOD’s balance sheet and allowing the Board to focus on its core mandate of purchasing and marketing cocoa.
In addition, the Minister noted that the Government has secured a US$500 million World Bank facility for agricultural road construction, including cocoa roads.
This intervention is expected to take over future road projects and prevent similar financial strain on COCOBOD.
Source: Starrfm.com.gh/Abigail praise Pabai
