President John Mahama has exposed a staggering GH¢3.7 billion debt hanging over the Defence Ministry, a financial burden inherited from the previous administration.

Addressing Parliament in his State of the Nation Address on February 27, 2025, he described the ballooning debt as a major obstacle to modernising and strengthening the Ghana Armed Forces (GAF).

“Like many other state institutions under the previous administration, the Ministry of Defence is burdened with approximately GH¢3.7 billion in debt, a figure that continues to grow as new undisclosed debts are uncovered,” President Mahama revealed.

Despite this financial strain, the President acknowledged the rising operational demands of Ghana’s Army, Navy, and Air Force, stressing the urgent need for modern platforms, equipment, and logistical support to effectively safeguard national security.

“The demands of our Army, Navy, and Air Force continue to rise, necessitating modern platforms for effective operations,” he stated.

One of the biggest challenges facing the military is the severe housing deficit. President Mahama disclosed that the GAF is short of over 17,000 housing units, leaving many personnel struggling with inadequate accommodation.

“Achieving a stable and secure nation necessitates the motivation of our uniformed personnel. Currently, the Ghana Armed Forces face a housing shortfall of over 17,000 units, and we recognise that the inadequate state of barrack accommodation must be addressed promptly,” he emphasised.

Beyond housing, essential supplies such as food rations and fuel for military operations have also been affected by the ministry’s debt crisis.

The President promised immediate interventions to ensure that soldiers are adequately resourced to carry out their duties.

Healthcare for the Armed Forces remains a key priority, with Mahama reaffirming his commitment to expanding and upgrading the 37 Military Hospital while ensuring the completion of the delayed Aferi (Kumasi) Military Hospital.

“My goal is to complete and operationalise this facility before the end of the year,” he assured Parliament.

The President also sounded the alarm over the proliferation of military-grade weapons that fell into unauthorised hands under the previous government, warning that this posed a grave threat to national security and democracy.

“These weapons pose a significant threat to our national security and constitutional democracy, endangering the safety of all Ghanaians and potentially exacerbating existing conflicts, such as chieftaincy disputes and armed robbery,” Mahama cautioned.

To counter these threats, his administration has embarked on a responsible initiative to track and recover these weapons while holding those responsible accountable for the lapses that led to the situation.

Despite the financial distress at the Defence Ministry, Mahama expressed confidence in the potential of the Defence Industries Holding Company (DIHOC) to drive industrialization and generate much-needed revenue for the Ghana Armed Forces.

“Although DIHOC has expanded, it has yet to be fully optimised to deliver the returns needed for the Ghana Armed Forces and our nation,” he admitted.

To address this, Mahama has instructed the Minister for Defence to integrate innovation and private sector investment into DIHOC’s operations, ensuring that it plays a key role in Ghana’s 24-hour economy agenda.

With the massive debt burden, security threats, and operational constraints facing the Defence Ministry, President Mahama has signaled that his government is determined to clean up the mess, enhance accountability, and restore efficiency in Ghana’s military operations.

As his administration moves to settle debts and revamp the Armed Forces, all eyes will be on how effectively these promises translate into action.