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Local Governance Gets Major Boost as Government Channels GH¢5bn Directly to Assemblies

Prosper AGBENYEGA by Prosper AGBENYEGA
April 21, 2026
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The government has significantly expanded the role of local authorities in driving development, following the direct transfer of GH¢5 billion to Metropolitan, Municipal and District Assemblies (MMDAs) in 2025—an intervention officials say is already yielding tangible results across communities.

Speaking at the Government Accountability Series at the Presidency in Accra, Ahmed Ibrahim, Minister for Local Government, Chieftaincy and Religious Affairs, said the decision to allocate 80 per cent of the District Assemblies Common Fund (DACF) directly to assemblies marks a turning point in Ghana’s decentralisation agenda.

Rather than focusing on the size of the funds alone, the Minister highlighted the visible outcomes, including hundreds of ongoing infrastructure projects across the country. These include 494 Community-based Health Planning and Services (CHPS) compounds, 761 classroom blocks, over 4,000 boreholes, and nearly 3,000 legacy projects currently at various stages of completion.

He added that 261 model markets under the government’s 24-hour economy initiative have been awarded and are progressing, aimed at boosting local commerce and extending economic activity beyond traditional hours.

Empowering Local Structures

Beyond infrastructure, the government is also strengthening governance at the grassroots level. For the first time, over GH¢100 million has been allocated for allowances to assembly members—eventually rising to GH¢107 million—an effort aimed at improving participation and accountability in local governance.

According to the Minister, these interventions are part of a broader strategy to deepen decentralisation and enhance service delivery at the district level.

Policy Reforms Underway

To sustain the momentum, key policy frameworks—including the National Decentralisation Policy and the National Urban Policy—are set for Cabinet approval. Additionally, new environmental sanitation and urban planning strategies have been finalised to guide development.

Political Context and Future Outlook

Ahmed Ibrahim also used the platform to criticise the previous administration, arguing that the current government inherited a weak and under-resourced decentralised system.

He reaffirmed the commitment of John Dramani Mahama to strengthening local governance structures, noting that empowering MMDAs with resources and policy support remains central to the government’s development agenda.

With increased funding, ongoing projects, and new policy direction, authorities say Ghana’s decentralisation framework is being repositioned to deliver more responsive and community-driven development outcomes.

Tags: AssembliesChannelsGetsGH¢5bn DirectlyGovernmentLocal GovernanceMajor Boost
Prosper AGBENYEGA

Prosper AGBENYEGA

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