Ghana's Road Fund faces GHS 100 million real-terms cut in 2026

Report highlights structural bias towards new road construction over critical maintenance, despite increased infrastructure budget.

Ghana’s 2026 Road Fund allocation has effectively decreased by GHS 100 million in real terms compared to 2025. The nominal allocation for 2026 stands at GHS 3 billion, a reduction from the GHS 3.1 billion allocated in 2025. This real-terms cut accounts for inflation and the depreciation of the Ghana cedi over the period. This reduction in maintenance funding directly affects the nation’s ability to preserve its existing road network. Heavy rainfall in 2026 has exposed widespread deterioration, with many roads crumbling faster than new construction can compensate. This situation highlights a persistent problem of prioritising the building of new roads over the critical maintenance of existing infrastructure. The issue fits into a broader pattern within Ghana's public spending on infrastructure. While the current administration has committed GHS 30.8 billion to road infrastructure in 2026, more than double the previous year’s allocation, this focus primarily targets new projects. Historically, Ghanaian governments have favoured new construction, which generates political capital, over less visible but equally vital maintenance. This structural bias has led to a road network where freshly built roads often share space with rapidly decaying older ones. CUTS International, a research and advocacy group, has called for increased Road Fund support in the upcoming Mid-Year Budget Review. Their statement underscores the urgency of addressing this neglect. They note that the current allocation represents a material reduction in maintenance capacity precisely when rainfall damage demands the opposite. The removal of road tolls five years ago eliminated a dedicated revenue stream for maintenance, costing road users more in vehicle damage and fuel consumption. The government must reconsider its allocation strategy for road infrastructure. A transparent electronic tolling system, with revenues specifically ring-fenced for maintenance, could provide a sustainable funding solution. Decision-makers in the Mid-Year Budget Review will need to balance the ambition for new infrastructure with the practical need to preserve existing assets. Overlooking maintenance will continue to lead to significant economic costs and hinder connectivity across the country. Future policies must address this imbalance to ensure a durable and efficient national road network.

Ghana's Road Fund faces GHS 100 million real-terms cut in 2026

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