Ghana has taken a strategic step to strengthen how Metropolitan, Municipal and District Assemblies (MMDAs) plan, finance, and track development spending, in a move aimed at improving the efficiency of public resource allocation and accelerating progress toward the Sustainable Development Goals (SDGs).
The Ministry of Finance, in partnership with the United Nations Development Programme (UNDP), has trained five Assemblies in SDG-based budgeting and expenditure reporting under the Integrated Assembly Financing Framework (IAFF). The initiative is intended to address the ongoing challenge of aligning local government spending with development outcomes, particularly in critical sectors such as health, education, water, sanitation and local infrastructure.
The five Assemblies, Kumasi Metropolitan, Kassena-Nankana West, Ketu South, Sagnerigu, and Sefwi-Wiaso, developed their 2024 SDG Budget and Expenditure Reports, outlining how their resources are allocated and the extent to which their investments support national and global development commitments.
Local Public Finance at the Center of Development Delivery
Local governments play a central role in delivering services that affect living standards and community development. However, many Assemblies face fragmented funding sources, limited data systems, and capacity gaps that make it difficult to measure how public spending translates into real improvements.
By introducing SDG-linked budgeting, the Ministry of Finance is encouraging Assemblies to move beyond traditional expenditure planning and adopt approaches that are more focused on measurable results.
This is particularly important as Ghana works to strengthen domestic revenue mobilization, reduce reliance on external financing, and improve the impact of public spending.
Driving Accountability Through Data
Speaking during the workshop, Huzaif Musah, National Coordinator, Tax for SDGs at UNDP Ghana, emphasized that empowering local governments is key to inclusive development.
“When you want to reach the farthest behind, you work with MMDAs. That is what SDG localization is about: empowering local governments to own and drive the SDGs,” he said.
He explained that data-driven reporting helps reveal spending priorities and ensures they align with community needs and national goals.
Financing the SDGs Begins at the Local Level
The Integrated Assembly Financing Framework supports Assemblies to consolidate all current revenue sources, including transfers from central government, internally generated funds, and donor financing, while also helping them explore new financing approaches. These may include private sector partnerships and community financing initiatives.
By strengthening capacity in budgeting and expenditure tracking, the Ministry of Finance and UNDP aim to promote transparency and ensure development funding produces meaningful outcomes.
A Step Toward Stronger Local Governance and Sustainable Growth
Assemblies are expected to use the new expenditure reports to guide future planning, engage communities, and strengthen accountability. The approach is also expected to improve coordination between local and central government planning systems.
As Ghana faces tightening fiscal space and increasing pressure to demonstrate results from public spending, aligning local budgets with development priorities has become essential. This initiative signals a shift toward more disciplined and responsive local governance that places community needs and sustainable development at the forefront.
