Additional US$32million Required To Complete Saglemi Housing Project
The Ministry of Works and Housing has said it will require an additional US$32million to complete the abandoned 5,000-unit Saglemi housing project started by the previous government.
Addressing a press briefing on Tuesday, April 27, 2021 in Accra, the Minister of Works and Housing, Mr Francis Asenso-Boakye said a technical audit by the Ghana Institution of Surveyors on the Saglemi Project which initially had an output target of 5000 units at a total cost of US$200million had estimated that additional funds would be required to complete the project.
He said an initial technical audit of the facility by the Ministry also found out that there was a lack of primary infrastructure such as water supply and electricity which had limited the utility of the development.
Mr Francis Asenso-Boakye addressing the press briefing.
“The original output target of the Saglemi project of 5,000 units at a total cost of US$200million as stipulated in the financing agreement presented to, and approved by Parliament had surreptitiously, and drastically, reduced to 1,502, of which 1,389 units had been completed without a commensurate reduction in the overall loan financing. Currently, an amount of approximately, US$197million representing 98 percent has been expended on 1,502 units as against the planned 5,000 units,” he said.
“Although the financing of the project had largely been exhausted, an initial technical audit by the Ministry revealed the lack of primary infrastructure to the Saglemi project site thus limiting the utility of the development. The key primary infrastructure still outstanding include water supply and electricity.
“The Ministry tasked the Ghana Institution of Surveyors to conduct a cost and technical audit of the contract executed by the contractors in the context of the variety of agreements and commitments made by the parties to the project. Upon completion of the audit, the Ghana Institution of Surveyors estimated that an approximate amount of US$32million would be needed to complete the project”.