Gov’t deepens decentralisation with GH¢9.1bn Common Fund transfers – Local Government Minister
Government transferred GH¢9.1 billion to MMDAs over six quarters (four quarters of 2025 and first two quarters of 2026).
In Brief
- •Government transferred GH¢9.1 billion to MMDAs over six quarters (four quarters of 2025 and first two quarters of 2026).
- •The 2025 disbursement exceeded GH¢5 billion, more than 12 times the GH¢390 million transferred in 2024.
- •Funds aim to support socio‑economic infrastructure and improve living conditions across Ghana.
- •The transfers reflect the government’s commitment to the “funds follow functions” principle.
- •Local authorities are expected to use the money to deliver services such as sanitation, roads, water, healthcare, education and transport.
Why It Matters
The substantial increase in Common Fund allocations signals a shift toward stronger local governance and fiscal autonomy in Ghana. By providing MMDAs with more resources, the government seeks to enhance service delivery, stimulate local economies, and create jobs, thereby reducing the concentration of development at the national level.
Key Details
- Total Transfer
- GH¢9.1 billion
- 2025 Disbursement
- >GH¢5 billion
- 2024 Disbursement
- GH¢390 million
- 2025 vs 2024 Ratio
- 12×
- Transfer Period
- Q1–Q4 2025 & Q1–Q2 2026
Original Reporting & Sources
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