Official correspondences obtained from the Ministry of Local Government, Decentralisation and Rural Development (MLGDRD) and the Ministry of Finance under the Nana Addo Dankwa Akufo-Addo administration reveal how the two Ministries, together with Ghana's development partners, engaged with the then Administrator of the District Assemblies Common Fund, Irene Naa Torshie, over her refusal to release funds to Metropolitan, Municipal, and District Assemblies (MMDAs) for local development.

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The correspondences consist of two letters: one from the then Local Government Minister, Dan Botwe, to Nana Addo Dankwa Akufo-Addo reporting the Common Fund Administrator’s refusal to disburse approved funds to districts; and the second, from the Ministry of Finance, reminding the Common Fund Administrator of the urgent need to release the funds.

The details of these letters contradict claims by Irene Naa Torshie that the Akufo-Addo government did not approve funds for her office and that all her appeals, including those to Vice President Dr. Mahamudu Bawumia, were ignored.

At a recent press conference the former Common Fund Administrator accused her former bosses of withholding funds.

“The President, Nana Akufo-Addo and Bawumia refused to release the common funds to me. Every fund approved by Parliament was disbursed according to the laid-down formula,” Naa Torshie said.

However, the official documents from both the Ministry of Finance and the Ministry of Local Government, Decentralisation and Rural Development show that monies were indeed approved and released. It was instead Naa Torshie, as Administrator of the Common Fund, who refused to make the disbursements, prompting official correspondences from both Ministries directing her to make urgent disbursements to concerned MMDAs.

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Dan Botwe Writes to Akufo-Addo

On July 10, 2023, the Ministry of Local Government, Decentralisation and Rural Development, in a letter signed by Minister Dan Botwe, wrote to President Akufo-Addo expressing concern over the Common Fund Administrator's refusal to disburse approved funds to district assemblies.

“The Ministry would want to bring to the attention of His Excellency the President, some challenges being faced in the utilisation of the District Assemblies Common Fund for the development of the District Assemblies as a result of lack of cooperation from the Office of the District Assemblies Common Fund Administrator,” the letter stated.

The letter highlighted a total lack of cooperation from Naa Torshie and how her conduct negatively impacted the work of MMDCEs, halting development at the local level. Following this letter, the Ministry sent another reminder to the Common Fund in December 2023, which was also ignored, according to subsequent correspondence from the Ministry of Finance.

Finance minister Amin Adam expresses concern

Six months after the local Government Ministry reported the matter to the President, and two months after its follow-up letter, the Ministry of Finance wrote to the Common Fund Administrator expressing serious concern over her conduct.

“We are in receipt of a copy of a letter dated 12th December 2023 by which the Ministry of Local Government, Decentralisation and Rural Development (MLGDRD) requested the Office of the District Assemblies Common Fund (DACF) to transfer an amount of GH¢181,837,022.00, GH ¢170,142,722.00 to the sub-consolidated accounts of the Metropolitan, Municipal, and District Assemblies and GH¢11,694,300 to the DPAT Secretary for the implementation of DPAT VI activities (copy of letter attached),” the letter, signed by Minister of Finance Dr Mohammed Amin Adam, stated.

The finance minister further expressed concern that the refusal to release the funds stalled development activities in 2023.

“We have noted with concern that these funds have since not been received in the accounts of the beneficiaries to facilitate the implementation of DPAT VI activities in 2023. This is hindering the progress of work and effective operations of the MMDAs,” the Ministry added.

Development partners threaten withdrawal of support

The finance ministry noted that Naa Torshie’s actions had raised serious concerns among Ghana's development partners, whose financial support for local development was being held up.

“The Ministry has received concerns from our Development Partners on the delayed transfer of funds to MMDAs as planned. This situation is worrying and threatens the current and future DP support to the DACF-RFG.”

The Ministry further stated that the Swiss Government was reluctant to execute a new grant financing agreement of CHF 22 million, of which CHF 6 million is meant for DPAT VII activities in 2024, “due to the fact that the CHF 4 million they disbursed in December 2022 plus the corresponding GOG contribution for implementation of DPAT VI activities in 2023 have not been transferred to the MMDAs.”

The finance ministry warned that Ghana risked losing external support for local development due to the refusal of the Common Fund Administrator to release approved funds.

Naa Torshie faces criticism

Naa Torshie has faced strong criticism from New Patriotic Party members for her role in frustrating district-level development, which many say negatively affected the party’s electoral fortunes. While she has campaigned for NPP members to elect Kennedy Agyapong as the party's next flagbearer, she has accused her former bosses, President Akufo-Addo and Vice President Bawumia, of failing to support her.

The official documents now reveal that it was her office that obstructed the district assemblies, potentially exacerbating public sentiment against her.

Read the letters below:





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