Nearly half of Ghana’s MMDAs fall below minimum public financial management standards – World Bank

The World Bank has revealed that nearly half of Ghana’s Metropolitan, Municipal, and District Assemblies fall below minimum public financial management standards.

The bank says that despite some improvements in financial management at the local level, challenges with financial reporting, internal audits, and the implementation of audit recommendations persist.

This was revealed at the launch of a new assessment aimed at strengthening public financial management systems across the country’s local assemblies.

The Ministry of Finance and the World Bank launched the Sub-National Public Expenditure and Financial Accountability Assessment and Public Financial Management Review in Ghana.

The initiative is expected to assess the strengths and weaknesses of public financial management systems across Metropolitan, Municipal, and District Assemblies, covering the entire budget cycle.

It will also provide recommendations to improve financial management and strengthen accountability in the use of public funds at the local level.

World Bank representative Raymond Muhula says while some progress has been made, significant gaps remain in financial reporting, internal auditing, and the follow-up of audit findings.

“The Centre for Local Governance Advocacy prepares the PFM league table. Most of you are aware of it, and it shows that the average score rose from 22 percent in 2023 to 56 percent in 2025. That's real progress, all of you will admit. But it also tells us that nearly half of MMDAs still fall short of the minimum benchmark. "Procurement planning, financial reporting, internal audits, and follow-up on audit findings remain weak," he said.

Speaking on behalf of the Finance Minister, the Ministry’s Chief Director, Dr. Patrick Nomo, reaffirmed government’s commitment to transparency and accountability in the management of public resources at the local level.

The Public Financial Management Review will be done across all the 261 districts.

The assessment is expected to provide a roadmap for addressing persistent weaknesses in local public financial management, with the ultimate aim of improving fiscal discipline, strengthening accountability, and ensuring that public resources deliver better outcomes for communities.