The La Dade-Kotopon Municipal Assembly in the Greater Accra Region has emerged as the top-performing assembly to comply with the country’s public financial management laws last year. 

With a score of 57.5 per cent, La Dade-Kotopon Municipal Assembly beat 257 metropolitan, municipal, and district assemblies (MMDAs) assessed across the country.

The 2024 Public Financial Management (PFM) Compliance League Table (2024 PFMCLT) rankings, which was released last Tuesday, placed Kwadaso Municipal Assembly in second place with 55.5 per cent, followed closely by Kpando (55.2 per cent), with Agona East District Assembly scoring the least score of 12 per cent.

The survey assessed and ranked 258 out of the 261 MMDAs across the country, as three assemblies were excluded due to security concerns and the closure of offices during the assessment period.

A civil society organisation, Centre for Local Governance Advocacy (CLGA), conducted the independent assessment with support from the European Union.

It was designed to promote compliance with public financial management laws, enhance transparency and accountability, improve the efficiency of resource utilisation, reduce corruption, and rebuild public confidence in local governments.

At the regional level, Ashanti, Eastern, Greater Accra, and Volta regions recorded scores above both the 50 per cent benchmark and the national average while the Savannah, Upper West, and Western North regions recorded the lowest scores, with none surpassing either the 50 per cent mark or the national average.

Also, Central, Bono, Bono East, Northern, Upper East, and Western regions recorded scores below the 50 per cent benchmark, while several assemblies performed above the national average.

Only 12 MMDAs (10 municipal and two district assemblies) representing just 4.5 per cent met or exceeded the 50 per cent benchmark.

The national average improved significantly, from 22 per cent in 2023 to 32 per cent in 2024.

The Deputy Executive Director, CLGA, Gladys Gillian Naadu Tetteh, announced the findings at the launch of 2024 PFMCLT in Accra last Tuesday.

Assessment

She said the 2024 assessment reviewed the MMDAs' performance across five key components of the Public Financial Management (PFM) system: planning, budget development and implementation, procurement and contracting, accounting and reporting, and internal and external auditing.

Ms Tetteh said the league table employed a standardised, evidence-based methodology with rigorous data verification and stakeholder engagement.

Ms Tetteh called for effective collaboration and capacity building to equip MMDAs.

She highlighted some challenges including improper bank reconciliations, ineffective Internal controls, poor procurement processes and inadequate monitoring mechanisms, weak alignment between development plans and executions, delayed approvals from budgetary requests and others.

Financial Discipline

A United Nations Audit Advisor, Dr Eric Oduro Osae, emphasised the critical need for Ministries, Departments and Agencies (MDAs), as well as State-Owned Enterprises (SOEs), to operate within approved budgetary limits.

He said the league table was not meant to shame underperforming assemblies, but to highlight areas that need improvement and where support is required.

Dr Osae revealed that for the first time, government plans to directly transfer 80 per cent of the District Assemblies Common Fund (DACF) to local governments.

Support

The Head of the Economics, Private Sector and Trade Section of the European Union Delegation, Timothy Dolan, in a speech read on his behalf by the Programme Officer, Sandrine Coets, said the EU’s support for the initiative reflects its commitment to strengthening accountability mechanisms.

She said the EU shared Ghana’s vision of deepening fiscal discipline, promoting fiscal decentralisation, improving domestic revenue mobilisation, and ensuring efficient public spending.