An ongoing audit of Ghana’s arrears and payables as of the end of 2024 has led to the rejection of GH¢3.6 billion worth of claims.
The rejected amount was due to significant errors, duplicated submissions, and violations of the country’s Public Financial Management and Public Procurement rules.
The audit exercise, which is being conducted by the Ghana Audit Service in partnership with renowned international firms Ernst & Young (EY) and PricewaterhouseCoopers (PwC), was commissioned to assess and validate a total of GH¢68.7 billion in arrears accumulated by Ministries, Departments, and Agencies.
Minister of Finance, Dr Cassiel Ato Forson, disclosed this during the presentation of the 2025 Mid-Year Budget Review to Parliament.
87% of audit work completed
Providing an update on the progress of the exercise, Dr Ato Forson told Parliament that about 87% of the audit has so far been completed.
Of the amount reviewed, he said GH¢28.3 billion has been validated for payment.
However, he revealed that GH¢562.6 million in claims could not be confirmed due to the absence of adequate supporting documentation.
Dr Ato Forson added that a further GH¢27.3 billion remains under scrutiny, pending final validation.
According to the Minister, the audit will be concluded by the end of August 2025, at which point a full update on its findings and outcomes will be presented to Parliament and the public.
He reiterated the government’s commitment to transparency, adding that the audit forms part of broader efforts to improve fiscal governance and enhance accountability in public spending.
Weak controls, procurement lapses exposed
Dr Forson highlighted that the rejected GH¢3.6 billion underscores the extent of weaknesses in internal controls across various arms of government.
He stressed that the audit had exposed instances of duplicated payments, inconsistencies in data submissions, and frequent breaches of established procurement and financial reporting guidelines.
These findings, he noted, show that large sums of money would have been lost to the state had the validation process not been introduced.
The Minister said the government was determined to tighten controls, ensure compliance with public finance laws, and prevent similar occurrences in the future.
Audit Supports Broader Fiscal Reforms
The arrears audit is part of the government’s wider economic reform programme under the ongoing IMF-supported Extended Credit Facility.
It aligns with efforts to strengthen public financial management, improve cash flow forecasting, and enforce fiscal discipline.
Dr Forson said the process reflects growing investor confidence in the government’s economic strategy and commitment to transparent governance.
According to the Minister, the participation of internationally respected audit firms in the process has ensured that the review is being carried out to the highest professional standards, giving both domestic and external stakeholders confidence in the results.
Full disclosure after August
Dr Ato Forson pledged that once the final audit report is completed by the end of August 2025, the findings and implications will be made public.
He assured the House that the government will continue to protect the public purse and uphold principles of accountability, stating, “We will not sweep anything under the carpet. Every cedi must be accounted for.”
The final audit outcomes are expected to influence government policy on arrears clearance, guide future budget planning, and serve as the basis for stronger enforcement of compliance across the public sector.
