The 2024 Auditor General’s report has uncovered a staggering GH¢18.4 billion in financial irregularities across public boards, corporations, and statutory institutions in Ghana. This figure represents a significant increase of GH¢9.6 billion from the previous year’s reported irregularities of GH¢8.8 billion.
Key Highlights of the Report
– Electricity Company of Ghana (ECG): ECG is at the center of the controversy, with irregularities totaling GH¢4.34 billion. The company under-declared revenue by GH¢2.95 billion and underpaid State-Owned Enterprises by GH¢1.29 billion. Additionally, ECG spent GH¢75 million on a contract without a signed agreement and inflated procurement costs, resulting in losses of US$17 million.
– Social Security and National Insurance Trust (SSNIT): SSNIT failed to transfer over GH¢564 million to the National Health Insurance Fund, raising concerns about the management of public funds.
– Minerals Income Investment Fund (MIIF): MIIF overpaid a contractor by US$2.98 million, further highlighting the need for improved oversight and accountability.
Recommendations
The Auditor General’s report emphasizes the need for:
– Stricter Controls: Implementing stronger internal controls to prevent financial irregularities.
– Better Supervision: Enhancing oversight and monitoring of public institutions to detect and address irregularities promptly.
– Full Enforcement: Ensuring that financial accountability laws are enforced, and sanctions are applied to those responsible for irregularities.
Implications
The report’s findings have raised concerns about fiscal discipline and public fund management in Ghana, particularly in an election year. Experts and civil society actors are calling for urgent action to address these issues and prevent further losses.