No contract shall be approved without prior commencement authorisation from Ministry of Finance – Ato Forson

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Finance Minister Dr Cassiel Ato Forson has insisted that no government contract shall be approved without prior commencement authorisation from the Ministry of Finance.

This directive, he said, took effect from April 3.

Dr Forson stated that the Ministry of Finance will no longer carry the weight of fiscal indiscipline alone.

In a post on his X page, he said “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.”

He stressed “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.”

Dr Cassiel Ato Forson earlier announced that the Government of Ghana is set to introduce a policy requiring all state agencies to procure certain essential goods exclusively from local producers.

The Finance Minister made the point that no country can develop without a strong industrial base, and while trade is important, Ghana must adopt deliberate policies to promote local production, hence, the directive to public sector agencies to procure certain goods locally.

Speaking during a meeting with the leadership of the Association of Ghana Industries (AGI), on Thursday April 3, Dr Forson stated that going forward, any government procurement from outside Ghana will require special approval from the Office of the President.

 

“To support our local industries, the government will soon publish a list of items that all public sector agencies must procure locally. This will ensure that government procurement serves as a tool to develop our industries,” he stated.

“Going forward, any government procurement from outside Ghana will require special approval from the Office of the President,” he added.

The finance minister also highlighted the urgent need to curb the smuggling of goods, which he said is crippling local businesses.

He revealed that the government has identified key smuggling routes and will soon announce strict measures to stop the influx of smuggled goods that unfairly compete with locally manufactured products.

As part of the broader industrial strategy, Dr. Forson called for a working session with industry leaders to explore how local businesses can actively participate in the government’s 24-hour economy programme to drive production and economic expansion.

AGI President, Dr. Humphrey Ayim-Darke, welcomed the government’s commitment to supporting local industries. He praised the minister’s budget policies and expressed optimism that continued engagement between government and industry would lead to tangible improvements in Ghana’s industrial sector.

The upcoming mandatory local procurement policy is expected to provide a significant boost to Ghanaian manufacturers, ensuring that government spending contributes directly to the growth of local businesses and the expansion of the national economy.

 

The post No contract shall be approved without prior commencement authorisation from Ministry of Finance – Ato Forson first appeared on 3News.

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