The Ministry of Finance has released GH¢987.9 million to the District Assemblies Common Fund (DACF) covering the first quarter of 2025, Finance Minister Dr. Cassiel Ato Forson confirmed today. The timely disbursement meets constitutional requirements for funding grassroots development amid current fiscal constraints.
Minister Forson emphasized the transfer aligns with Ghana’s decentralization framework, noting the funds will enable Metropolitan, Municipal, and District Assemblies (MMDAs) to execute critical infrastructure and service projects nationwide. “This reaffirms our commitment to empowering local governance despite economic headwinds,” he stated during the announcement at the Finance Ministry.
The DACF allocation – representing 5% of national revenue as mandated under Article 252 of Ghana’s Constitution – arrives after 2024’s delayed distributions drew criticism from local authorities. The DACF Administrator is now expected to distribute shares to all 261 MMDAs within the statutory 14-day window.
Today’s transfer marks the largest first-quarter DACF disbursement since 2022, signaling improved revenue mobilization. Analysts suggest the move could ease pressure on assemblies struggling with service delivery backlogs in education, sanitation, and road maintenance sectors.