Audio By Carbonatix
Parliament has approved the Public Procurement Authority Amendment Bill 2025, introducing a significant reform that requires written authorisation from the Minister for Finance, Dr Cassiel Ato Forson, for all government-funded procurements.
This measure aims to enhance fiscal discipline and prevent financial commitments exceeding approved budgetary allocations.
The amendment seeks to address concerns over past procurement practices, where contracts were awarded without adequate financial backing, leading to the accumulation of arrears.
By implementing this requirement, the government intends to strengthen oversight and ensure that procurement decisions align with available resources.
Speaking in Parliament, Dr Ato Forson emphasised the necessity of the reform, stating: “Mr Speaker, the object of the Bill is to amend the Public Procurement Act (Act 663) to introduce a requirement for commitment authorisation to accompany all government-funded procurement.”
He underscored the importance of this change in maintaining financial discipline within public sector spending.
He further highlighted how previous procurement practices had contributed to financial challenges, explaining: “Mr Speaker, one of the critical challenges that have contributed to the accumulation of arrears is the practice of awarding contracts without ensuring the availability of funds for payment."
"To address this, the government, as part of the 2025 Budget measures, has directed that all procurement funded by the central government must be accompanied by written authorisation from the Minister responsible for Finance.”
Latest Stories
-
AI to transform 49% of jobs in Africa within three years – PwC Survey
35 seconds -
Physicist raises scientific and cost concerns over $35m EPA’s galamsey water cleaning technology
13 minutes -
The road to approval: Inside Ghana’s AI strategy and KNUST’s leadership
56 minutes -
Infrastructure deficit and power challenges affecting academics at AAMUSTED – SRC President
1 hour -
Former US diplomat sentenced to life for abusing two girls in Burkina Faso
1 hour -
At least 20 killed after military plane carrying banknotes crashes in Bolivia
1 hour -
UK reaffirms investment commitment at study UK Alumni Awards Ghana 2026
1 hour -
NCCE pays courtesy call on 66 Artillery Regiment, deepens stakeholder engagement
1 hour -
GHATOF leadership pays courtesy call on Chief of Staff, Julius Debrah
2 hours -
KiDi unleashes first single of the year ‘Babylon’
2 hours -
Ghana Boxing Federation unveils new logo at Accra Sports Stadium
2 hours -
Pink Ladies Cup: Agejipena scores debut goal as Black Queens thump Hong Kong
2 hours -
Ghana pays tribute to 1948 heroes at 78th anniversary observance
3 hours -
Allowance payout will strengthen Ghana’s decentralization framework – Tano North Assembly Members
3 hours -
Two arrested in connection with Effiakuma viral video
3 hours
