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Finance Ministry bans government contracts without prior approval

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Finance Ministry bans government contracts without prior approval

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Finance Ministry bans government contracts without prior approval

Finance Ministry bans government contracts without prior approval

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Finance Minister Dr. Cassiel Ato Forson has issued a directive that, effective April 3, 2025, no government contract shall be approved without prior commencement authorisation from the Ministry of Finance.

This directive aims to reinforce fiscal discipline and enhance public financial management across all government sectors.

During a high-level meeting with Chief Directors and senior officials from various Ministries, Departments, and Agencies (MDAs), Dr. Forson emphasized the need to halt the unauthorised awarding of contracts.

He made it clear that the Ministry of Finance must give express approval before any contract can proceed, and procurement cannot take place without a commencement certificate.

The Finance Minister highlighted that this policy is not just an administrative change, but a legal obligation under the newly amended Public Financial Management Act, 2025.

He warned that any violation of this directive would lead to serious consequences, adding that the Ministry will no longer bear responsibility for instances of fiscal indiscipline.

Dr. Forson urged public servants to uphold the highest standards of integrity, discipline, and patriotism in managing national resources.

He noted that poor governance and financial mismanagement contribute to the hardships faced by Ghanaians and stressed the importance of responsible leadership.

“Restoring trust in public service begins with transparency, responsibility, and discipline in implementing the national budget.

That journey starts now,” he wrote.

READ FULL STATEMENT BELOW

At a recent meeting with Chief Directors and senior officials of various Ministries, Departments, and Agencies, I delivered a firm directive that takes effect from April 3, 2025:

No government contract shall be approved without prior commencement authorisation from the Ministry of Finance.

This is not business as usual. This is a decisive step to enforce fiscal discipline, ensure accountability, and end the culture of financial recklessness in public administration.

It is in full alignment with the recently amended Public Financial Management Act, 2025.

I made it unequivocally clear: You cannot award contracts without the express approval of the Ministry of Finance.

Every contract must now receive commencement authorisation.

Let me repeat: No commencement certificate, no procurement.

This is not merely a bureaucratic process—it is a legal requirement.

Any breach of this directive will attract serious consequences.

The Ministry of Finance will no longer carry the weight of fiscal indiscipline alone.

If you are a principal spending officer and you violate this directive, you will be held personally accountable.

I urge all public officials to act with integrity and a deep sense of national duty.

We are among the privileged few—we must not continue to subject our people to hardship through negligence or abuse of public resources.

Restoring trust in public service begins with transparency, responsibility, and discipline in implementing the national budget.

That journey starts now.

Tags: contractsDr. Cassiel Ato ForsonFinance Ministrygovernment

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