Ghana’s District Assemblies Common Fund (DACF) Administrator, Michael Harry Yamson, has revealed that 1,587 projects funded by the DACF do not exist. These projects were part of a total of 4,767 projects reviewed during a recent nationwide tracing exercise.
The concerning discovery highlights significant transparency issues within the management of the Common Fund. Mr. Yamson attributed the non-existent projects to a lack of transparency during the previous administration. He emphasized that every cedi allocated for development must result in visible and verifiable projects on the ground.
This revelation comes at a critical time for Ghana’s public finance management amidst ongoing efforts to improve fiscal discipline. The DACF is a crucial mechanism for decentralized development, distributing funds to metropolitan, municipal, and district assemblies (MMDAs). Allegations of misuse or non-existence of projects undermine public trust and hinder equitable development across the country.
Mr. Yamson disclosed these findings at a meeting with Municipal and District Chief Executives (MDCEs) in the Volta Region last Thursday. He stated that measures are now in place to improve transparency and accountability within the DACF. This aims to ensure the fund effectively supports equitable development, secures livelihoods, stimulates economic growth, and strengthens decentralized governance. The Volta Regional Minister, James Gunu, urged assemblies to prudently use their allocations, especially since 80 percent of the fund has been released.
The implications of these findings are substantial for public accountability and future project financing in Ghana. The DACF administration must rigorously implement its new transparency measures to restore confidence. Stakeholders will closely monitor how these reforms prevent similar occurrences and ensure proper utilization of public funds. Increased oversight and technological solutions could play a vital role in verifying project existence and progress. This situation also underscores the need for MMDAs to enhance their Internally Generated Funds (IGF) mobilization. Stronger IGFs would reduce reliance on central government transfers and improve local service delivery, as suggested by Mr. Yamson.