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MDAs directed to secure fresh Commitment Authorisations for 2026

The Deputy Minister for Finance, Thomas Nyarko Ampem, has directed all Ministries, Departments and Agencies (MDAs) to obtain fresh Commitment Authorisations for all expenditure in 2026.

He explained that authorisations granted in 2025 have expired and are therefore no longer valid for procurement and spending activities in 2026.

Addressing Chief Directors, Heads of Covered Entities and Chief Executives of Public Institutions at a meeting on the Modalities for Commitment Authorisation for 2026, the Deputy Minister stressed that all spending must strictly remain within approved budgetary ceilings.

Mr Ampem, who is also the Member of Parliament for the Asuogyaman Constituency, announced a new two-week turnaround target for the Ministry of Finance to process and approve Commitment Authorisation requests, provided all required documentation is properly submitted.

Explaining the rationale behind the Commitment Authorisation system, he noted that it was introduced to prevent public institutions from committing the state to projects without approved budgetary allocations.

He observed that in the past, substantial financial commitments were undertaken without the knowledge of the Ministry of Finance, a practice that significantly contributed to the country’s rising public debt.

To streamline the approval process, Mr Ampem directed that all future Commitment Authorisation requests should be routed through the relevant Sector Ministers.

However, to minimise bureaucratic delays, MDAs have also been instructed to submit copies of their applications directly to the Ministry of Finance, which would begin processing them while awaiting formal referral.

The Deputy Minister further clarified that MDAs with ongoing projects from 2025, where contracts have already been awarded but payments remain outstanding, must fully disclose such commitments.

He explained that these obligations would be treated as a first charge on their 2026 budgets before approval is given for any new expenditure.

Mr Ampem emphasised that strict enforcement of these measures was critical to curbing unauthorised spending and formed part of a mandatory framework aimed at restoring budgetary discipline and ensuring debt sustainability under Ghana’s IMF-supported programme.

“If this country had respected the budget and committed the state only when funds were available, we would not have found ourselves where we are today,” he stated.

By Times Reporter

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