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Friday, June 6, 2025

Ghana Injects GH¢5.7 Billion into Statutory Funds for Local Development

Dr Cassiel Ato Baah ForsonDr Cassiel Ato Baah Forson
Dr Cassiel Ato Baah Forson

Ghana’s government has disbursed GH¢5.7 billion to statutory funds for first-quarter 2025, targeting enhanced local development and social services.

Finance Minister Dr. Cassiel Ato Forson announced the allocations before Parliament, emphasizing President Mahama’s commitment to revitalizing district governance after what he termed years of neglect.

The District Assemblies Common Fund received GH¢987.97 million, with Forson pledging 80% direct transfers to metropolitan, municipal, and district assemblies. “MMDAs will receive no less than GH¢6.1 billion from the GH¢7.57 billion annual allocation,” he stated, criticizing previous administrations for centralizing fund control.

Cabinet-approved spending guidelines mandate specific allocations: 25% for 24-hour Economy Model Markets, 10% each for health facilities and educational infrastructure, 10% for water projects including boreholes, 10% for waste management, 10% for school furniture, 5% for administrative oversight, and 20% to complete abandoned infrastructure projects.

The National Health Insurance Scheme received GH¢2.03 billion, enabling arrears clearance and implementation of the Free Primary Healthcare program branded ‘Mahama Care’. Concurrently, the Ghana Education Trust Fund obtained GH¢2.71 billion, fully covering Free Senior High School operational costs including feeding and infrastructure. Forson framed the disbursements as restoring institutional trust through strategic decentralization and timely fiscal discipline.

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