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Ghs25 Million Disbursed Amidst Skepticism
In a move set to redefine Ghana’s local governance landscape, President Mahama has reportedly delivered on a key campaign promise, initiating the long-awaited monthly allowance payments to Assembly Members.
This development, previously met with considerable doubt from opposition figures and local government pundits, became a reality yesterday, July 14, 2025, with the announcement of a GHS25,000,000.00 first tranche disbursement.
Local Government Minister, Hon. Ahmed Ibrahim, confirmed the release, silencing critics who had dismissed the pledge as mere political maneuvering ahead of elections.
The Minister stated that out of the 9,085 Assembly Members across 261 constituencies nationwide, each is now entitled to a monthly allowance of GH₵1,300.00.
According to Hon. Ibrahim, GHS23,621,000.00 of the initially released GHS25 million – which the Finance Ministry disbursed on June 18 – has already been paid out.
This sum covers the allowances for the months of April and May, providing a crucial financial injection for the grassroots representatives.
The Minister emphasized that these payments are a direct reflection of President Mahama’s unwavering commitment to Ghana’s decentralization agenda.
He asserted that empowering Assembly Members financially strengthens the foundation of local governance, aligning with the broader objective of transferring power, responsibilities, and resources to local authorities.
The ultimate goal, he noted, is to foster greater citizen participation and improve service delivery at the community level.
This initiative, a cornerstone of the NDC Government’s “Resetting Ghana Agenda,” saw GH₵100,000,000.00 allocated in the 2025 Budget Statement and Economic Policy (Page 73, Section 395) specifically for these consolidated monthly allowances.
The objective, as articulated by the Minister, is to enhance the capacity of Assembly Members, equipping them with the necessary financial muscle and logistics to effectively monitor government projects and programs within their respective electoral areas.
Addressing the press in Accra, Hon. Ahmed underscored the government’s intent to “demystify the re-centralization of resources at the centre,” a practice he claims has historically hampered the performance of Metropolitan, Municipal, and District Assemblies (MMDAs).
“To reverse this trend, the National Democratic Congress (NDC) is committed to transferring 80% of the District Assembly Common Fund to all Metropolitan, Municipal and District Assemblies, and that policy is being implemented as we speak,” he declared, promising a significant shift in resource distribution.
The Minister further revealed that the MLGCRA, on June 12, 2025, formally requested the Ministry of Finance to release the full GH₵100,000,000.00 to facilitate these transfers to the MMDAs.
He concluded by reiterating that the “Resetting Ghana Agenda” on Local Governance and Decentralization is clearly demonstrated by this “significant step of transferring resources to local governments and Assembly members,” vowing that the NDC government will continue to prioritize adequate resource allocation to MMDAs for effective service delivery.
Is this a genuine step towards empowering local governance, or simply a well-timed political maneuver by the Mahama administration? Only time will tell if these payments truly translate into improved grassroots development.