Gov’t Launches Procurement Reforms to Curb GH¢2.36bn Annual Losses

The government has rolled out sweeping reforms to Ghana’s public procurement system in a bid to stem the GH¢2.36 billion lost each year to procurement breaches, Deputy Finance Minister Thomas Nyarko Ampem has announced.

Speaking at the National Procurement and Supply Conference in Accra on Saturday, September 20, 2025, Mr. Nyarko Ampem described the persistent losses as a “drain on scarce resources” that could otherwise fund hospitals, schools, and climate-resilient infrastructure.

“Why are we spending more on inefficiencies and infractions than on the most vulnerable in our society? Procurement inefficiencies rob us of opportunities to create jobs and expand access to critical services,” he said, citing a Ghana Institute of Procurement and Supply (GIPS) report that revealed the staggering losses.

Key Reforms

To plug the leakages, the government has:

• Amended the Public Procurement Act, making commencement certificates and budgetary allocations mandatory before any central government-funded procurement can begin.
• Established a PFM Compliance Division to enforce adherence through the Ghana Electronic Procurement System (GHANEPS).
• Submitted the Procurement Practising Bill to Cabinet to professionalise the procurement function, embed sustainability safeguards, and strengthen anti-corruption measures.

Mr. Nyarko Ampem stressed that the reforms are anchored in President John Mahama’s economic reset agenda and align with the 24-Hour Economy Programme, which prioritises local production, green procurement, and job creation.

He also urged procurement professionals to embrace technology and insist on value-for-money, noting that “every insistence on local content builds industries that can compete across Africa and beyond.”

The conference was themed “Transforming Public Procurement for Sustainable Development: Policies, Practices and Pathways.”