The government is rolling out sweeping reforms in the public procurement system to tackle the billions of cedis lost annually through irregularities, Deputy Minister of Finance, Thomas Nyarko Ampem, has announced.

Delivering a keynote address at the National Procurement and Supply Conference, Mr Nyarko Ampem cited a Ghana Institute of Procurement and Supply (GIPS) report, which revealed that the country loses about GH¢2.36bn every year to procurement breaches.

He described this as a drain on resources that should be used to build 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,” the Deputy Minister said.

He noted that irregularities such as unauthorised procurements, inconsistent evaluations, poor supervision, and vague specifications designed to favour certain suppliers have become widespread.

These, he warned, undermine development and public trust.

To reverse the trend, he said government had amended the Public Procurement Act to make commencement certificates and budgetary allocations prerequisites for all central government-funded procurements.

The Ministry of Finance has also set up a PFM Compliance Division to enforce adherence through the Ghana Electronic Procurement System (GHANEPS).

Mr Nyarko Ampem further disclosed that Cabinet was considering the Procurement Practitioners Bill, which will professionalise procurement, curb malpractices, and embed sustainability and anti-corruption safeguards.

“This legislation is expected to raise standards and give procurement the strategic importance it deserves,” he added.

He also stressed that the reforms were anchored in President John Mahama’s economic reset agenda and aligned with the 24-Hour Economy Programme, which prioritises local production, green procurement, and job creation.

The Deputy Minister urged procurement professionals to embrace technology, enforce existing laws, and focus on value for money.

“Every insistence on local content builds industries that can compete across Africa and beyond,” he said.

The conference was organised under the theme “Transforming Public Procurement for Sustainable Development: Policies, Practices and Pathways.”