The Minister responsible for Finance, Dr. Cassiel Ato Forson has briefed Parliament on the government’s substantial disbursements to key statutory funds, emphasizing President John Dramani Mahama’s administration’s commitment to fulfilling its obligations, particularly in the health and education sectors.
He highlighted several significant allocations such as the National Health Insurance Fund; where he revealed that a total of GH₵2.033 billion has been disbursed to the Fund, covering the period from January to March 2025. This payment, he explained has enabled the National Health Insurance Authority (NHIA) to settle claims with healthcare providers and facilitated the implementation of the Free Primary Healthcare Programme under the Ghana Medical Trust Fund, also known as “Mahama Cares.”
Addressing the House, Ato Forson elaborated that the Mahama Cares initiative is designed to offer crucial financial assistance to individuals battling chronic diseases such as cancer, cardiovascular diseases, and kidney failure. The fund will support specialist-level treatment, acting as a vital complement to the existing National Health Insurance Scheme.
Touching on the Ghana Education Trust Fund (GETFund), Dr. Ato Forson says GH₵2.710 billion has been transferred to the GETFund for January to April 2025. This allocation, according to him means the GETFund will now fully cover the funding for the Free Senior High School program, addressing previous challenges, including feeding costs. These disbursements, the Minister explained, underscore the government’s dedication to prioritizing essential sectors and fostering local economic development.
The Finance Minister highlighted that the administration aims to strengthen metropolitan, municipal, and district assemblies (MMDAs) as a means to drive economic growth and enhance the overall well-being of Ghanaians. He stated that a significant portion of the District Assembly Common Fund (DACF) is slated for direct disbursement to local assemblies to bolster local economic activities. He announced that each district assembly would receive a minimum of GH₵25 million this year.
“These efforts demonstrate the government’s commitment to prioritizing key sectors and promoting local economic development. By strengthening metropolitan, municipal, and district assemblies, the administration aims to drive economic growth and improve the overall well-being of Ghanaians.” The Minister emphasised. “A significant portion of the District Assembly Common Fund (DACF) will be disbursed directly to local assemblies to support local economic activities. Each district assembly will receive a minimum of GHC 25 million this year. The government has implemented measures to ensure that these resources are used in line with economic objectives.
This allocation aims to empower district assemblies to drive local development and economic growth.”
According to Dr. Ato Forson, the Mahama administration is actively working to reverse a recent trend of recentralization of the DACF, which has previously hampered the ability of MMDAs to drive local economic development. He stressed on past challenges where only 40-50% of DACF transfers were disbursed directly to MMDAs, severely limiting their capacity for local economic development. This recentralization, the Minister stated, has undermined the effectiveness of MMDAs in responding to local needs.
He however asserts that the government now proposes to transfer a minimum of 80% of DACF resources directly to MMDAs, a move endorsed in the 2025 budget. This significant policy shift, he says is intended to empower MMDAs to truly drive economic growth and deepen decentralization across the country with an expected outcome of approximately GH₵6.1 billion of the total GH₵5.757 billion.
He stated that this policy adjustment aligns directly with the principles of decentralization, aiming to bring decision-making and essential resources closer to the populace.
Story by: Eugenia Ewoenam Osei
