Accra: The Government has released more than GHS 987.96 million from the Consolidated Fund into the District Assemblies Common Fund (DACF), marking the first-quarter allocation for developmental projects at the Assemblies.
According to Ghana News Agency, Dr. Cassiel Ato Forson, the Finance Minister, announced this on the floor of the House, emphasizing the importance of the timely release of the statutory funds. This move is aligned with President Mahama-led Government's fiscal decentralization agenda. The Administrator of the DACF is mandated to transfer at least 80% of these funds directly to the District, Municipal, and Metropolitan Assemblies (MMDAs) for project implementation.
Dr. Forson underscored the commitment to judiciously managing taxpayer money, declaring an end to reckless spending and stating that borrowing will only occur when funds are available. Each Assembly is anticipated to receive GHS 25 million as a statutory payment from the DACF this year.
The guidelines approved by the Cabinet specify that 25% of the funds will be allocated for constructing model markets, while 10% will be used for health facilities, including two community-based health posts in rural Assemblies. Another 10% is designated for educational facilities, with plans to build a kindergarten, primary, and junior high school block in each Assembly.
Further allocations include 10% for potable water facilities, particularly the drilling of at least 10 boreholes in rural areas, 10% for procuring school furniture, and 20% for completing abandoned legacy projects. The Government has also allocated 5% for the administration of the Assemblies, including monitoring and evaluation.
Dr. Forson highlighted that these payments demonstrate the Government's dedication to fulfilling statutory obligations in key sectors. He urged legislators to support efforts to strengthen the Metropolitan, Municipal, and District Assemblies, positioning them as catalysts for local economic development.
The Minister encouraged legislators to oversee the utilization of the funds in their respective Assemblies, ensuring adherence to Cabinet-approved guidelines. Additionally, he mentioned the planned release of GHS 2.3 billion to the National Health Insurance Fund for the first quarter of 2025 to cover claims and GHS 2.7 billion for the Ghana Education Trust Fund, supporting the Free Senior High School policy.