Work on the long-delayed Takoradi Market Circle Redevelopment Project is expected to resume within the next month, barring any last-minute setbacks, the project’s contractor, Contracta Costruzioni Italia S.R.L., has disclosed.
The assurance was given during a tour of the project site by the Minister for Local Government, Chieftaincy and Religious Affairs, Mahama Ayariga, on Tuesday, September 22, 2026.
The project, which began about six years ago, is 62 percent complete, with the contractor proposing an extension of Phase One to meet growing demand for trading spaces in Takoradi.
The government has committed €41.7 million to the project so far. The amount covers part of the original €48 million contract sum as well as costs incurred as a result of prolonged suspension of the project.
Contractor proposes 1,200 additional trading spaces
The contractor is seeking an additional six months to complete Phase One of the project and construct 1,200 more trading spaces.
If approved, the proposal would increase the market’s total capacity to about 4,000 trading spaces.
The contractor is also seeking approval for a second variation to the project to construct an approximately 1.5-kilometre drainage system connecting the market to the main drainage receptacle at Mankessim White House.
The drainage component was not part of the original scope of work but has become necessary to address concerns about flooding and effective stormwater management around the market.
Contracta’s Technical Director, Reginald Longdon, said the drainage intervention would help mitigate the problem, although it may not completely eliminate the challenge.
“If this thing [drainage] is not resolved, it will not totally deal with the situation. But we’ve tried to mitigate it as much as possible with the design,” he said.
Government explores alternative financing
The project has faced significant delays following funding challenges, including cuts from Italy’s export credit agency, SACE.
Government is therefore exploring alternative financing arrangements to secure the funds required to complete the redevelopment.
Mr Ayariga said a financing model similar to the one used for the Kejetia Market in Kumasi was being considered.
He explained that revenue generated from renting out the completed trading spaces could be used to support the completion of the project.
“I have been tasked by the Finance Minister to come up with a financing framework that enables us to complete this market. So, we’ve come up with an approach similar to what has been used at Kejetia,” he said.
According to the Minister, the government believes the project’s advanced stage makes the proposed financing model viable.
“We’ve realised that if we actually rent out the 4,000 spaces, we should be able to use that revenue to complete the project. The project is far advanced, and the amount needed to finish it isn’t substantial,” he said.
He added that discussions are ongoing among the Sekondi-Takoradi Development Authority (STDA), the Ministry and the contractor on arrangements to collect advance payments from prospective traders.
The funds, he explained, would be channelled into completing the project and facilitating the eventual handover of the market.
Government backs extension
On the contractor’s request to expand Phase One, Mr Ayariga said the proposal was under serious consideration.
He said government was considering approving the additional 1,200 trading spaces alongside a six-month extension to the completion period.
“We are actually considering adding the 1,200 spaces and extending the completion period by six months,” he said.
Suspension costs mount
The prolonged delay in settling the €48 million contract sum has resulted in high additional costs.
The government has incurred about €18.9 million in suspension costs, out of which €7.13 million has so far been paid.
The suspension-related costs could increase further if the proposed extension is approved.
For traders who were displaced to make way for the redevelopment, however, the overriding expectation remains the same: that the project will finally be completed and the market handed over.
With government pursuing alternative financing and the contractor anticipating a return to site within a month, attention is now focused on whether the proposed arrangements will finally unlock the project and bring an end to years of delays.
