About 150 workers comprising engineers, technicians and labourers, representing nearly two-thirds of the total workforce on the Kejetia Phase II Market Project in Kumasi have been laid off by construction firm.
Mr. Emmanuel Danso, the Community Liaison Officer of CONTRACTA, the construction firm, who confirmed this said the decision follows months of inactivity at the project site.He said Workers have stayed home while still receiving monthly salaries despite construction works being halted.
He said an agreement existed between the Government of Ghana and Contracta Construction UK Limited for government to subsidize part of the workers’ salaries during the downtime.
According to Mr. Danso, the agreement is yet to be honoured, placing a heavy financial burden on the company. The Kejetia Phase II Project, designed to complement the redeveloped Phase I market, has remained stalled since 2024.
The Kejetia Phase Two Project was slightly above 58 percent complete when construction was suspended, with certified interim payments exceeding €27 million still unpaid. Early this month, the Minister for Local Government, Chieftaincy and Religious Affairs, Ahmed Ibrahim, disclosed the prolonged suspension and contractor demobilisation significantly increased the overall project cost.
The Minister said the sharp increase in cost was caused by mounting suspension-related claims and delays in payments to contractors following the halt of work in 2024.He said delays, unpaid contractor claims and project suspensions have driven up costs on the project to over €305 million.
The redevelopment of the Kumasi Central Market at €248 million is being financed by the Deutsche Bank of Germany, with export credit guarantee from the United Kingdom Export Finance (UKEF).
The second phase of the project is expected to house 6,500 leasable commercial spaces, 5,400 closed stores; 800 kiosks, 50 restaurants and 210 fishmonger and butcher stores, 40 livestock stores, among others as well as provide 900 direct jobs and 2,500 indirect jobs to improve the lot of residents.
Residents, traders and workers feel frustrated and have appealed to government to release funds for work to resume to enable workers earn decent livelihoods for their families.
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