On 9th May 2024, the Finance Ministry’s Budget Monitoring Team visited the Asutifi North District Assembly as part of its nationwide exercise to assess the implementation of district budgets and financial management practices. The objective was to ensure that the district adheres to the financial regulations and budgetary guidelines established by the government, while also evaluating the progress of projects funded by public resources.
The monitoring team was composed of budget analysts, auditors, and financial experts from the Ministry of Finance. Key assembly members present during the visit included the District Chief Executive (DCE), the District Coordinating Director, the finance officers, heads of departments, and representatives from various units responsible for the execution of the district’s budget.
To review the status of budget execution, including revenue collection, expenditure, and the progress of development projects funded through the district’s budget. To assess the effectiveness of financial management systems, internal controls, and compliance with financial regulations. identify any issues or obstacles hindering the effective use of budgeted funds and the execution of projects. To provide guidance and suggest improvements in financial management and budget implementation.
The visit began with an opening meeting where the DCE welcomed the monitoring team and provided an overview of the district’s budget priorities and financial management framework. He highlighted key areas of focus for the fiscal year, including infrastructure development, health, education, and water and sanitation projects. The Finance Ministry’s team leader outlined the purpose of the visit and the areas of assessment, stressing the importance of transparent and accountable use of public funds. he team conducted a detailed review of the district’s budget performance for the first quarter of 2024. The review covered: The assembly reported achieving 75% of its projected revenue targets, mainly from internally generated funds such as property rates, market tolls, and fees.
However, challenges were noted in collecting arrears from previous years. The team examined expenditure records to assess compliance with the approved budget. It was observed that while recurrent expenditures were on track, there were delays in capital expenditures due to late disbursement of funds from the central government. The monitoring team also evaluated the alignment of expenditures with the district’s priority sectors, ensuring that funds were being directed towards critical areas such as education, health, and infrastructure.
The team reviewed the financial reports submitted by the assembly, assessing their accuracy, timeliness, and compliance with reporting standards. While the assembly had made progress in timely submissions, there were noted discrepancies in the documentation of some expenditures, prompting recommendations for improved record-keeping and regular internal audits. The monitoring team also checked the assembly’s adherence to procurement processes, ensuring that procurement activities were conducted transparently and by the Public Procurement Act.
To verify the use of funds and the progress of ongoing projects, the team visited several project sites, including:
Inspections revealed that some road projects were behind schedule due to contractor delays and funding issues. The monitoring team urged the assembly to enforce contractual obligations and expedite project completion. The team visited newly constructed school blocks and health centers. While these projects were generally on track, the team noted the need for additional resources to equip these facilities adequately.
One of the primary challenges identified was the delay in the release of funds from the central government, which affected the assembly’s ability to execute capital projects on time. The team observed that while revenue mobilization efforts were commendable, there were significant challenges in collecting outstanding revenues from past years. This was attributed to inadequate enforcement mechanisms and the need for enhanced public awareness on tax obligations. Discrepancies in financial reporting were noted, particularly in the documentation of expenditures related to minor projects. The monitoring team recommended strengthening internal controls and conducting regular training for finance officers to improve reporting accuracy.
The team found inefficiencies in the procurement process, such as delays in awarding contracts and poor contract management practices. These issues were contributing to project delays and cost overruns. The assembly was advised to enhance its financial controls by conducting regular internal audits, improving documentation practices, and implementing an automated financial reporting system to reduce errors and discrepancies.
the monitoring team recommended that the assembly: Implement stricter enforcement measures to recover outstanding arrears and enhance public sensitization campaigns on the importance of paying local taxes and fees. Explore new revenue-generating opportunities, such as partnerships with local businesses.
The Finance Ministry Budget Monitoring Team’s visit to the Asutifi North District Assembly on 9th May 2024 highlighted both the progress made and the challenges faced by the assembly in managing its budget and implementing development projects. The team’s findings underscore the need for stronger financial management practices, improved procurement processes, and enhanced stakeholder engagement.
The assembly is expected to act on the recommendations provided, focusing on strengthening financial controls, enhancing revenue mobilization, and improving the efficiency of project execution. By addressing these challenges, the Asutifi North District Assembly can improve its budget performance, ensure the effective use of public resources, and deliver better services to its residents.