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Home » WORLD BANK BLASTS FINANCE MINISTRY OVER GARID CASH CONTROLS, WARNS OF FLOOD PROJECT COLLAPSE

Banking and FinanceBusinessClimate Change and SustainabilityEnvironmentGovernance

WORLD BANK BLASTS FINANCE MINISTRY OVER GARID CASH CONTROLS, WARNS OF FLOOD PROJECT COLLAPSE

Agyemkum Tuah
Last updated: July 1, 2026 12:33 pm
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The World Bank has sharply criticised Ghana’s Ministry of Finance, linking fiscal controls to crippling delays in the $350 million Greater Accra Resilient and Integrated Development (GARID) Project. The Bank warned that funding restrictions have stalled vital flood mitigation works, even as Accra reels from deadly floods.

In its May 2026 update, the Bank downgraded GARID’s performance to “Moderately Unsatisfactory”, citing cash flow constraints. The Ministry in 2025 imposed ceilings on project disbursements and temporarily swept GH¢13.8 million from the project’s account, creating liquidity challenges.

The Project Coordination Unit projected $40.8 million was needed for 2026, but only $17.5 million was allocated. Contractors remain behind schedule, with unpaid Interim Payment Certificates (IPCs) slowing progress on major civil works.

Although engineering designs are complete, construction has lagged. The Bank cautioned that prolonged disruptions could trigger contractor claims, procurement delays, and increased costs.

Operationally, the Flood Early Warning System (FEWS) is functional, and solid waste collection targets have been exceeded. Yet no public flood warning was issued ahead of the June 29 floods, which killed at least 12 people, raising questions about the system’s effectiveness.

The GARID project, launched to tackle Accra’s chronic flooding, covers drainage infrastructure, solid waste management, urban upgrading, and institutional coordination. Despite government efforts to process a $10.5 million withdrawal in February 2026 and return the GH¢13.8 million swept from the project account in March, liquidity challenges remain unresolved.

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TAGGED:Accra flood managementFinance Ministry fiscal controlsFlood Early Warning System GhanaGARID project delaysWorld Bank Ghana flood project
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