Big Push offers major opportunities for indigenous contractors – Ahmed Ibrahim

The Minister of Works and Housing, Ahmed Ibrahim, has highlighted the opportunities Ghana’s infrastructure expansion could create for indigenous construction companies, calling for measures to ensure local firms benefit meaningfully from major projects.

He said government initiatives such as the Big Push Infrastructure Programme, the Accra-Kumasi Highway and the 24-hour economy could help Ghanaian contractors expand their businesses, create jobs and build the capacity to deliver large-scale projects.

Speaking at a Stakeholders’ Consultative Forum on Structured Project Contracting and Subcontracting, organised by the Ghana National Chamber of Construction Industry, Mr Ibrahim said infrastructure development must go hand in hand with the growth of local construction firms.

“Are we simply building infrastructure? Or are we also building the capacity of Ghanaian enterprises to deliver the infrastructure of tomorrow? For us, the answer must be both,” he said.

The Minister called for structured subcontracting arrangements that would enable smaller Ghanaian companies to participate more effectively in major infrastructure projects.

He said subcontracting should go beyond assigning smaller portions of work to local firms and be deliberately used to promote skills development, technology acquisition and enterprise growth.

“Subcontractors should not simply be a mechanism for assigning smaller portions of work to local firms. It should be deliberately used for capacity building, skills transfer, technology acquisition, and enterprise development,” he stated.

Mr Ibrahim also encouraged indigenous contractors to form partnerships and consortiums to strengthen their capacity to compete for major projects.

He identified access to working capital, affordable equipment financing, guarantees, insurance and timely payments as important requirements for the growth of local construction companies.

“Our contractors need access to working capital,” he said, adding that government had a responsibility to improve procurement and contractor arrangements to support genuine local participation while safeguarding transparency, value for money and quality.

The Minister further urged international contractors and investors operating in Ghana to support local enterprise development through joint ventures, technology transfer and the integration of Ghanaian businesses into supply chains.

Chief Executive Officer of the Ghana National Chamber of Construction Industry, Emmanuel Cherry, said structured subcontracting was needed to ensure that more indigenous contractors benefited from the government’s infrastructure programme.

He cited the number of contractors registered with the Ministry of Roads and Highways and questioned the limited participation of local firms in projects under the Big Push.

“We have over 5,000 contractors in the books of the Ministry of Roads and Highways, but those working on the Big Push now are minimal — a little over 100, possibly. So, what happens to the rest? Does that mean that the rest do not have anything to do?” he asked.

Mr Cherry said the Chamber was advocating a structured approach to subcontracting that would broaden opportunities for local contractors.

“To curtail this challenge, we are looking up to subcontracting structures. All we are seeking is that government must package the contracts strategically, in a sense that every contractor must at least employ additional subcontractors on a particular project,” he stated.

The forum focused on how contracting and subcontracting arrangements could be structured to widen local participation in infrastructure projects while supporting the development of Ghanaian construction businesses.