Finance Minister Dr. Cassiel Ato Baah Forson has announced that every Metropolitan, Municipal, and District Assembly (MMDA) across Ghana will receive a minimum allocation of GHS 25 million in 2025 to support local development initiatives.
Addressing Parliament on Tuesday, June 3, 2025, Dr. Forson disclosed that a total of GHS 987.9 million has already been released to the District Assemblies Common Fund (DACF) for the first quarter of the year. These funds, he said, are to be distributed among the various assemblies to drive infrastructure and service delivery at the local level.
Outlining the spending priorities, the Minister directed that:
- 10% of the funds be allocated to essential projects such as model market designs, CHPS compounds, classroom infrastructure, potable water systems (including 10 boreholes), and school furniture.
- 20% should go toward completing uncompleted projects initiated by the now-defunct Northern, Middle Belt, and Coastal Development Authorities.
He further instructed the Administrator of the DACF to ensure that at least 80% of the funds are disbursed directly to the assemblies in compliance with legal provisions.
Dr. Forson, who also serves as the Member of Parliament for Ajumako-Enyan-Essiam, assured lawmakers that all statutory payments—including releases to the National Health Insurance Fund and the Ghana Education Trust Fund (GETFund)—for the period of January to April 2025 have been fully honored.
His update was well-received in the House, with Members of Parliament commending the timely release of funds and the renewed commitment to transparency and local development.
Each MMDA to Receive Minimum of GHS 25 Million in 2025 – Finance Minister Announces
The Minister for Finance, Dr. Cassiel Ato Baah Forson, has announced that each Metropolitan, Municipal, and District Assembly (MMDA) across the country will receive a minimum of GHS 25 million this year.
The announcement was made on the floor of Parliament on Tuesday, June 3, 2025, during the Minister’s briefing to lawmakers on the status of statutory fund releases.
Dr. Forson, who is also the Member of Parliament for Ajumako-Enyan-Essiam, revealed that an estimated GHS 987,967,073 has been released to the District Assemblies Common Fund (DACF) as the first-quarter disbursement for 2025. The funds are intended to support the developmental activities of the various assemblies.
Providing a breakdown of how the allocations are expected to be utilized, the Finance Minister explained that:
- 10% of the funds should go towards projects such as the design of a model market, construction of Community-based Health Planning and Services (CHPS) compounds, educational facilities, potable water projects including ten boreholes, and the provision of school furniture.
- 20% is earmarked for completing uncompleted projects initially started by the now-defunct Northern, Middle Belt, and Coastal Development Authorities.
Dr. Forson further directed the Administrator of the DACF to ensure that 80% of the disbursed funds are released directly to the assemblies in line with legal requirements.
In addition, the Minister disclosed that all statutory payments due for the first four months of the year—covering January to April 2025—have been released. These include allocations to the National Health Insurance Fund and the Ghana Education Trust Fund (GETFund).
The announcement was met with commendation from Members of Parliament across the political divide, who lauded the timely release of funds and the transparency shown by the Minister.
Source: Clement Akoloh||parliamentnews360.com
