Politics

Mahama details new funding guidelines for district development

President John Dramani Mahama has disclosed that district assemblies across Ghana are now receiving 80 percent of their allocations directly under the District Assemblies Common Fund (DACF), a move he described as a significant step toward empowering local governance and strengthening development at the grassroots level.

Speaking at his first media encounter on Wednesday, the President said that out of the $7.57 billion allocated to the DACF this year, approximately $6.1 billion has already gone straight to the local assemblies, with each Metropolitan, Municipal, and District Assembly (MMDA) guaranteed a minimum of \$25 million.

“Already, the first quarter disbursement of $987.97 million has been released to kick-start district-level development,” Mahama noted.

To ensure the funds are properly utilized, the President explained that the MPAC Cabinet has approved detailed expenditure guidelines.

According to him, 25 percent of the fund is earmarked for the design and construction of what government calls “24-hour economy model markets.”

Another 10 percent will be directed toward health, with each district expected to receive at least two Community-based Health Planning and Services (CHPS) compounds.

On education, Mahama outlined plans for the construction of one kindergarten, one primary, and one junior high block per district. Additionally, the funds will provide potable water through at least 10 boreholes, school furniture, and environmental sanitation facilities.

For administrative efficiency, 7.5 percent of the allocation will go into MMDA administration, monitoring, and evaluation, while 20 percent is dedicated to completing and finishing legacy projects that have been left unfinished.

The President further revealed that statutory funds have also been disbursed in full, demonstrating his government’s commitment to public service delivery.

He cited $2.03 billion released to the National Health Insurance Fund and $2.71 billion to the Ghana Education Trust Fund (GETFund), which will cover arrears under the National Health Insurance Scheme (NHIS) and Free Senior High School (SHS) policy.

“This underscores our commitment to public service delivery and local empowerment,” Mahama emphasized, assuring Ghanaians that the government remains focused on decentralization and inclusive growth.

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