Gov’t transfers GH¢9.1bn DACF to MMDAs under Mahama — Mahama Ayariga

The Minister for Local Government, Chieftaincy and Religious Affairs, Mahama Ayariga, says more than GH¢5 billion from the District Assemblies Common Fund (DACF) was disbursed to Metropolitan, Municipal and District Assemblies (MMDAs) in 2025. Mr Ayariga said the figure represented a significant increase in direct funding to the MMDAs compared with the amount disbursed in the 2024 fiscal year under the previous administration. “In 2024 Fiscal Year, under Former President Nana Addo Danquah Akuffo—Addo and former Vice President Bawumia (and now NPP presidential candidate) only GH¢390 million was disbursed directly to the MMDAs,” he said.

Speaking on Monday, October 5, at the Government Accountability Series, Mr Ayariga said the increase in funding became evident in the first year of President John Dramani Mahama’s administration, with more than GH¢5 billion in DACF disbursed directly to the assemblies. “In 2025, the first year of President John Dramani Mahama, over GH¢5 billion of DACF has been disbursed to MMDAs, [a] substantial increment of about twelve-fold to that of Bawumia and his team in 2024,” he said. Mr Ayariga said the increased disbursement demonstrated the government’s commitment to decentralisation and adherence to what he described as the principle of “triple Fs”.

“This is a demonstration of our commitment to decentralization and strict adherence to the principle of triple Fs as alluded earlier,” he said. The minister compared the amount disbursed in 2025 with what he said the New Patriotic Party (NPP) government spent on MMDAs in 2024. “So while NPP spent a paltry GH¢390 million on MMDAs to support local economies, NDC in its first year spent over GH¢5 billion,” Mr Ayariga said.

“This should give you an indication of the jobs created at the local level in the spending of this GH¢5 billion,” he said. Mr Ayariga further stressed that the funds allocated to the MMDAs should not be viewed simply as a national-level financial figure, but as resources that could support development projects within local communities. “This represents not merely a statistical abstraction at the national level, but rather tangible capital that empowers the Assemblies,” he said.

According to Mr Ayariga, the resources enabled… The government has transferred a total of GH¢9.1 billion from the District Assemblies Common Fund (DACF) to Metropolitan, Municipal and District Assemblies (MMDAs) since assuming office, Local Government, Chieftaincy and Religious Affairs Minister Mahama Ayariga has announced. Speaking at the Government Accountability Series at the Jubilee House on Monday, October 5, Mr Ayariga said the funds represented six quarters of DACF allocations and formed part of the government’s commitment to strengthening decentralisation and ensuring that local authorities have the resources to deliver essential services.

He said the increased transfers were consistent with the principle of “Funds Follow Functions”, arguing that local authorities could only effectively perform their responsibilities if adequate resources were made available to them. “The Ministry has facilitated the transfer of total amount of GH¢9.1 billion, six quarters of the DACF, to MMDAs for the provision of socio-economic infrastructure and improved living conditions for the Ghanaian people,” he said. Mr Ayariga said government was committed to ensuring that not less than 88% of DACF resources were disbursed to MMDAs, describing the increased funding as an important step towards revitalising local economies and accelerating development at the district level.