The Ministry of Finance has released GHS millions in final funds to settle outstanding salary arrears owed to railway workers across Ghana. Transport Minister Joseph Bukari Nikpe announced the disbursement after appearing before Parliament’s Public Accounts Committee.
These salary arrears had accumulated because the railway sector has been non-operational since 2023. This inactivity meant the sector could not generate its own revenue to pay its employees. The railway workers are set up to manage operations, pay themselves, and return profits to the state from their work. Their inability to operate directly led to the salary payment issues.
This situation fits into a broader economic challenge for Ghana, where state-owned enterprises sometimes face operational difficulties leading to financial strain. Prior to this, the government had already made substantial payments to alleviate the burden. In December, President John Dramani Mahama directed that almost five months of owed salaries be paid to the affected workers. Another payment covering four months was made approximately two months ago, demonstrating a phased approach to resolving the debt.
Minister Nikpe stated that the Ministry of Finance has now released the final tranche of money. "As we speak, the Minister for Finance has released money for us to do the last payment for the railway workers," he confirmed. He explained that the funds must still undergo processing through the Controller and Accountant-General’s Department before they are officially distributed. This step ensures proper financial procedures are followed.
The release of these final funds brings the total outstanding arrears to be paid down to an estimated five to six months. This payout is expected to provide much-needed financial relief to the railway workers. The Minister assured all workers that they are aware of the payment's current status. The timely disbursement of these funds will be closely watched as a sign of the government's commitment to its workforce and potentially to the revival of the railway sector itself.