World Bank Blames Finance Ministry Controls for Delays in GARID Project
The World Bank has said fiscal restrictions introduced by Ghana’s Ministry of Finance slowed down the implementation of the Greater Accra Resilient and Integrated Development Project, known as GARID.
The GARID project is one of Ghana’s major flood control and urban resilience programmes, designed to help reduce flooding in Accra and improve drainage, sanitation and waste management in selected areas of the Greater Accra Region.
In its latest implementation update released in May 2026, the World Bank downgraded the project’s performance rating to “Moderately Unsatisfactory.”
According to the Bank, the project remained fully financed, but its progress was affected by funding limitations created by fiscal measures introduced in 2025.
The report stated that the Ministry of Finance placed a limit on project disbursements and temporarily removed GH¢13.8 million from the project’s designated account.
These actions created serious cash flow problems, delayed payments to contractors and slowed the execution of major civil works.
The report has become more significant following the June 29 floods in Accra, which reportedly killed at least 12 people and renewed public concern about the capital’s long-standing drainage and flood management problems.
The $350 million GARID project is intended to strengthen flood risk management, improve solid waste systems and build urban resilience within the Greater Accra Metropolitan Area.
The project covers drainage and flood control infrastructure, waste management, urban upgrading, institutional coordination, project management and emergency response.
Although the World Bank said the project’s overall development goals were still broadly on track, it noted that work on the ground had fallen behind schedule.
The Bank said the flood early warning system had been completed and was operational, while waste collection in underserved communities had exceeded annual targets.
However, no public flood warning was issued before the June 29 disaster, raising questions about how the system was used during the flooding.
The report also said detailed engineering designs had been completed for most approved civil works, except the Ayidan landfill, but construction had moved slowly.
Some contractors were behind schedule, and decisions had not yet been made on whether to terminate or restructure contracts that continued to perform poorly.
The World Bank linked much of the delay to the funding restrictions imposed in 2025.
It warned that even though enough money was available overall to complete the project, interruptions in the release of funds had created wider risks.
These risks include higher costs caused by delays, contractor claims, price adjustments, procurement difficulties and delays in resettlement-related activities.
Following discussions with the World Bank, the government took some corrective steps.
In February 2026, a withdrawal request of $10.5 million was processed, marking the first project withdrawal since November 2023.
The government also requested a restructuring of the project to allow funds to be moved across spending categories.
The GH¢13.8 million that had earlier been taken from the project’s account was also returned in March 2026.
However, the World Bank said these actions had only partly reduced the project’s financial pressure and had not fully solved the funding gap affecting construction.
According to the report, the Project Coordination Unit estimated that about $40.8 million would be needed for 2026.
However, the Ministry of Finance allocated only about $17.5 million, leaving a major shortfall.
The report also noted that a request for commitment authorisation covering $79.8 million in civil works contracts, submitted by the Ministry of Works and Housing, was still awaiting approval.
The Ministry of Finance indicated that additional support for the project may be considered during the 2026 Mid-Year Budget Review, depending on the country’s overall budget situation.
The government has also signalled plans to resume the approval of commitment authorisations as fiscal space improves.
The World Bank, however, warned that further delays in granting the needed approvals could affect the project’s progress and disrupt contracts.
The funding difficulties have also affected the project’s disbursement record.
As of April 14, 2026, only $137 million, representing about 40 percent of the total $350 million financing, had been released.
The World Bank said the project recorded almost no disbursement for about 16 months, from November 2024 to March 2026, because of the government’s fiscal controls.
Disbursement resumed in April 2026 after the government decided to restore funding flows and continue implementation.
The Bank said a wider review of the project may be needed once the government establishes a more reliable funding process.
Such a review would examine the project timelines, assess the cost of the delays already suffered and determine what changes are needed to ensure GARID achieves its objectives before its closing date.
