The Chamber for Local Governance (ChaLoG) has expressed full support for the government’s decision to allocate 80 per cent of the total approved budget of the District Assemblies Common Fund (DACF) Secretariat to the Metropolitan, Municipal, and District Assemblies (MMDAs).

The aim of the initiative is for MMDAs to use the funds for local development projects.

Dr Richard Fiadomor and Mr Romeo Elikplim Akahoho, President and Executive Secretary of ChaLoG, told the Ghana News Agency (GNA) in a reaction that described the move as “an unprecedented policy initiative of the government of President John Dramani Mahama.”

They noted that “ChaLoG fully supports this very highly commendable and thoroughly thought-through policy, owing to the far-reaching positive implications it would have on decentralisation, local governance and local development.”

They explained that it would lead to improved resource allocation as local governments could allocate resources more efficiently, tailoring spending to local needs and priorities.

According to them, it would also lead to increased accountability, adding that decentralisation promotes transparency and accountability, as local governments are more directly responsible to their constituents.

Other benefits they stated were enhanced local participation, as citizens have a greater say in decision-making processes, fostering community engagement and ownership; local governments could respond quickly to local issues, addressing needs and concerns more effectively.

They added that the policy could also reduce bureaucratic red tape and improve service delivery, promoting local economic development through decentralised policies and programmes, as well as lead to better targeting of resources, as resources could be targeted more effectively to address specific local needs, such as infrastructure development or social services.

“ChaLoG will in the coming days keenly monitor the transfers from the Ministry of Finance to the DACF Secretariat and the subsequent transfers to the MMDAs. 

ChaLoG will further elect to monitor for strict compliance of the Cabinet Approved Guidelines on the utilisation of the DACF by the MMDAs.”