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Home»Local News»Minority proposes PFM amendment to align budget with national development plan
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Minority proposes PFM amendment to align budget with national development plan

Ghana NewsBy Ghana NewsMarch 2, 2026No Comments3 Mins Read
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‎By Rachel Quartey
‎
‎Parliament has begun broad consultations on a proposed amendment to Ghana’s public financial management regime, as the Minority prepares to introduce the Public Financial Management (Amendment) Bill, 2026.
‎
‎The Private Member’s Bill, sponsored by the Member of Parliament for Ofoase-Ayirebi, Kojo Oppong Nkrumah, seeks to tighten fiscal discipline and strengthen accountability in the use of public funds by aligning government spending strictly with approved national development plans.

At a stakeholder engagement in Accra, Mr. Oppong Nkrumah, who also serves as Ranking Member on Parliament’s Economy and Development Committee, explained that the proposed amendment is designed to block funding for projects that fall outside the National Development Planning Commission (NDPC)-approved framework.
‎
‎“This amendment seeks to deny the Ministry of Finance the opportunity to fund such projects and programmes. This is separate from contingencies or emergencies that may arise. But for regular programmes and projects that have not been included in the strategic plan of the MMDA or the MDA to get certification, the object of this amendment bill is to deny funding for it until such a time that it is captured and certified as part of the National Development Planning Commission’s programme,” he said.

‎He stressed that the goal is to curb discretionary and unplanned spending that does not align with Ghana’s long-term development agenda.
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‎At the committee level, he revealed, the proposal has earned the nickname: “No Plan, No Cash.”
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‎“If it is not in the plan, it will not get cash,” he stated, adding that the bill aims to close a loophole that currently allows Ministries, Departments and Agencies (MDAs) and Metropolitan, Municipal and District Assemblies (MMDAs) to undertake non-emergency projects that have not been certified under the national development plan.
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‎According to him, while the Public Financial Management Act, passed in 2016, has served the country well, practical implementation has exposed gaps that need to be addressed.
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‎“Often we complain that there are gaps in our legislation and in our governance structure. But we now have an opportunity to move beyond the complaints and fix them ourselves,” he noted.

Clerk to Parliament, Ebenezer Ahumah Djietror, explained that the proposed amendment seeks to ensure stronger coordination between the Ministry of Finance and the National Development Planning Commission, while safeguarding the constitutional principles guiding national development planning.
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‎“At its core, the bill seeks to align the national budget with a broader vision of development as enshrined in our Constitution,” he noted.
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‎The sponsor has called on stakeholders not only to contribute ideas at the consultation stage but also to follow the bill through its formal processes in Parliament to ensure its successful passage.
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‎If passed, the amendment is expected to significantly reshape how public funds are allocated and spent, reinforcing the principle that government expenditure must strictly follow nationally approved development priorities.
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‎The Deputy Clerk to Parliament in charge of Legislative Management Services, Camillo Pwamang, said the amendment would also introduce additional accountability measures, including making NDPC-approved development plans the mandatory basis for preparing the annual national budget.
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‎“By amending the PFM Act, the bill would, among other things, make development plans duly approved by the NDPC the mandatory basis for the preparation of the annual budget,” he said.
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‎“It also requires the publication of annual progress reports as a precondition for the inclusion of estimates in the budget and for the issuance of expenditure warrants,” he added.
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‎Other participants, including representatives from MDAs, MMDAs, civil society, academia and development partners, such as United Kingdom, the World Bank and the Foreign Commonwealth Development Office, welcomed the initiative and called for stronger enforcement mechanisms to ensure strict adherence to the national development plan in public spending.
‎

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