News:
June 4, 2025
Government has capitalized Metropolitan, Municipal and District Assemblies to deliver development in their areas with the release of funds to the District Assemblies Common Fund.
The Finance Minister has transferred Nine hundred and eighty-seven million, Nine Hundred and Sixty -Five Thousand and Seventy-Three Ghana Cedis (GHS987,965,073.00) into the District Assemblies Common Fund as the first quarter amount due the DACF.
Delivering a statement to Parliament on Payments to Statutory Funds on June 3, 2025, the Finance Minister, Cassiel Ato Forson indicated that the Administrator of the DACF is required to ensure that 80%of the amount is transferred directly to the Assemblies without fail and expenditure returns submitted to the Ministry of Finance before subsequent releases will be made.
The Minister noted that the resolve to transfer 80% of the funds directly to the Assemblies is aimed at boosting their capacities to adequately respond to the pressing needs of the people at the local level.
This, he said, is a reversal of what pertained in the past eight years where only a paltry 40% to 50% of funds was disbursed directly to the District Assemblies.
He announced that the government is guaranteeing the disbursement of approximately GHS6.1 billion of the GHS7.57billion earmarked for 2025 directly to the Assemblies to spur local economic activities at the district level.
Meanwhile, Cabinet has approved guidelines to ensure prudent and accountable utilization of the funds as follows:
I- 25% of the amount transferred to the Assemblies is to be utilized for the design and construction of 24-Hour Economy Model Markets
ii. 10% for the construct of health facilities (minimum of 2 CHPS compounds) per Assembly.
iii. 10% for the construction of educational facilities (1 KG block, 1 primary school block and 1 Junior High School
block).
iv. 10% for the provision of potable water (minimum of 10 boreholes for rural Assemblies).
10% for environmental sanitation (solid and liquid
waste management). vi. 10% for the provision of school furniture.
vii. 5% for the administration of the Assemblies, including monitoring and evaluation.
viii. And finally, 20% to complete abandoned legacy projects, including the numerous uncompleted structures left behind by the Middle Belt Development Authority, Coastal Development Authority, and the Northern Development Authority.
Ghanamps.com