News:
November 13, 2026
Finance Minister Dr. Cassiel Ato Forson has announced a GH¢17.6 billion allocation to the Ministry of Local Government, Chieftaincy and Religious Affairs in the 2027 Budget, describing it as a major push to strengthen local administration and community services across the country’s 261 districts.
Presenting the 2027 Budget Statement and Economic Policy to Parliament on Thursday, Dr. Forson said the envelope combines statutory transfers, ministry operations, and flagship infrastructure projects.
Breakdown of the GH¢17.6 Billion Envelope
The Minister detailed the following allocations:
· GH¢10.8 billion to the District Assemblies Common Fund (DACF) to support development in districts and communities.
· GH¢685 million for the construction of a modern Greater Accra Regional Market (New Agbogbloshie).
· GH¢685 million towards the completion of Kejetia Market Phase 2.
· GH¢500 million for the construction of rural housing.
· GH¢200 million for the completion of the Takoradi Market project.
· GH¢400 million for integrated recycling and composting plants to turn refuse into reusable materials.
· GH¢200 million for ten engineered landfill sites to improve waste management.
· GH¢100 million for twenty-five waste transfer stations.
· GH¢272 million for the renovation of Regional Coordinating Councils and residences to support regional administration.
· GH¢150 million for the payment of allowances to Assembly Members.
Comparing 2026 and 2027: A Dramatic Increase
The 2027 allocation represents a massive jump from the GH¢4.79 billion approved by Parliament for the same Ministry in the 2026 fiscal year. This translates to an increase of roughly GH¢12.8 billion, or approximately 267 per cent.
The growth is driven largely by the DACF, which rose from GH¢8.77 billion in 2026 to GH¢10.8 billion in 2027 — a 23 per cent increase. The 2027 envelope also includes significant one-off capital projects — notably the New Agbogbloshie and Kejetia Phase 2 markets — that were not part of the 2026 headline allocation.
The near-tripling of the Ministry’s allocation, combined with the 23 per cent rise in the DACF, signals a deliberate policy shift toward decentralised capital spending. More than 60 per cent of the sector’s budget is now routed through the Common Fund, giving Metropolitan, Municipal and District Assemblies (MMDAs) greater control over grassroots infrastructure such as CHPS compounds, classroom blocks, boreholes, and feeder roads.
Ghanamps.com