Ghana’s public institutions recorded GH¢7.69 billion in financial irregularities in 2025, down 62.9% from GH¢20.72 billion in 2024, but the remaining losses highlight the cost of weak financial controls and the need to protect public resources.
Deputy Finance Minister Thomas Nyarko Ampem said stronger scrutiny of procurement, payroll systems and major public investments was necessary to prevent waste, improper payments and financial leakages that undermine the value of public expenditure.
Speaking at the 25th anniversary of the Institute of Internal Auditors Ghana, he said the government’s New Economy agenda would depend not only on the revenue mobilised but also on how effectively public funds were managed and deployed.
The figures from the 2025 Auditor-General’s reports point to a significant reduction in recorded irregularities, but Mr Ampem cautioned that the GH¢7.69 billion remaining required sustained action to strengthen accountability and public financial management.
“A 62.9% reduction is progress. GH¢7.69 billion in remaining irregularities is a reminder that the job is far from finished,” he said.
The financial implications extend beyond accounting discrepancies. Weak controls over public spending can reduce the resources available for infrastructure, essential services and development programmes, while increasing pressure on government finances.
Mr Ampem, who spoke on behalf of Finance Minister Dr Cassiel Ato Forson, urged internal auditors to adopt data analytics, digital tools and continuous risk assessments to identify weaknesses before they translate into financial losses.
He also called on heads of public institutions to protect the independence of internal auditors, provide them with the resources and authority to perform their duties, and act promptly on audit recommendations.
He warned that allowing the same weaknesses to recur would undermine efforts to improve spending efficiency and safeguard public funds.
The scale of questionable claims identified during the verification of government’s legacy arrears and payables further illustrated the importance of preventive controls.
Mr Ampem said GH¢8.1 billion of the GH¢68.7 billion in claims submitted for verification had been rejected.
The rejected claims included submissions with inadequate supporting documentation, duplicate claims, falsified receipts and payments for work that had not been performed.
The findings highlight the fiscal risks associated with weak verification processes, particularly when government is under pressure to settle outstanding obligations while managing competing expenditure demands.
Mr Ampem said preventing improper payments before funds were released was preferable to pursuing recovery after the money had been paid.
“The lesson is that it is better to stop an improper payment before it is paid than to spend years trying to recover it,” he said.
He stressed that digitalisation must be accompanied by professional competence, institutional independence and management accountability to ensure that technology translates into stronger financial oversight.
He said the effectiveness of the government’s New Economy agenda would depend on eliminating waste, tightening controls and ensuring that public resources delivered their intended economic and social returns.
