There are growing concerns over possible further delays to the stalled Kejetia Market Phase II project after contractor Contracta directed some 150 staff and senior management to work from home to cut administrative costs.

The move has heightened uncertainty over the future of one of Ghana’s largest market redevelopment projects, despite recent government assurances that work would resume once financing challenges were resolved.

Nana Akwasi Prempeh, president of the Federation of Kumasi Traders, said traders had become increasingly skeptical about the government’s commitment to completing the project after workers confirmed they had been asked to stay away from the site.

“We are worried because the contractor’s decision raises more questions about when work will actually resume,” Prempeh said. “Traders are losing confidence because the market has remained incomplete for a long time.”

The concerns come days after Local Government, Chieftaincy and Religious Affairs Minister Ahmed Ibrahim assured the public that the government remained committed to completing both the Kejetia Market Phase II project in Kumasi and the Takoradi Central Market redevelopment.

Addressing a press conference in Accra, Ibrahim said delays stemmed from unpaid Interim Payment Certificates by the previous administration and the subsequent demobilisation of contractors from the project sites in 2024.

According to the minister, the original contract sum for Kejetia Phase II, signed in 2018, stood at 248 million euros, but had since risen to 305.5 million euros due to suspension-related claims.

“The government must now find alternative financing to settle the claim before the contractor can return to site,” he said.

Ibrahim said the additional 57.3 million euros in costs, negotiated down from an initial 101 million euros claim, was not covered under the original loan agreement approved by parliament.

At the time work was suspended in 2024, the Kejetia project was 58.22% complete, with construction works standing at 35.5%, according to the ministry.

The minister said the government was in talks with contractors over payment plans for suspension costs and remained determined to restart work because procurement for the project was nearly complete.

Once completed, the market is expected to become one of the largest trading centres in West Africa and form part of Ghana’s broader plan to boost urban commerce and job creation.

However, traders in Kumasi say the latest development involving the contractor’s staff has deepened fears that the project could face even longer delays.

Efforts to obtain a response from the authorities regarding the development have so far yielded little result.