Financial and Administrative Infractions in Public Institutions
Twelve out of thirteen public institutions have been cited for financial and administrative infractions, according to the Auditor-General’s December 2024 Report. These institutions have now been recommended for prosecution by the Public Accounts Committee (PAC) and referred to the Attorney-General.
The affected institutions include several key entities such as the Komfo Anokye Teaching Hospital, Western Regional Health Directorate, Agona East Health Directorate, Amansie South District Education Directorate, Ghana Education Service (Tepa), Jirapa Municipal Education Directorate, and Twifo Praso District Education Office. Other institutions mentioned are the Kwahu Afram Plains North District Education Service, Dormaa West Education Directorate, Government Secretariat School (Ho and Sekondi campuses), and the Greater Accra Regional Hospital.
These institutions were given a deadline of 48 hours to up to 30 days to address various irregularities outlined in the report. The issues included rent defaults, unearned salaries, and unlawful payments for allowances for persons with disabilities. However, none of the institutions managed to comply within the stipulated time frame.
During the hearing before the PAC, the Auditor-General, Mr Johnson Akuamoah Asiedu, revealed that only the Achimota Hospital had rectified its infraction by providing verified documentation to support a previously unsupported payment of GH¢62,360. He noted that the remaining 12 institutions had not fully recovered monies related to the irregularities they were cited for. Furthermore, none of them provided any explanation for their failure to act within the deadline.
Mr Samuel Atta Mills, the Ranking Member and Acting Chairperson of the PAC, recommended that all defaulting institutions be referred to the Attorney-General for prosecution. He stated, “I will recommend all those who failed to respond or act within 30 days to the Attorney-General for prosecution.”
Educational Sector Reforms and Loan Policies
In a related development, the Minister of Education, Mr Haruna Iddrisu, appeared before the PAC and hinted at a possible review of the interest rate applied by the Students Loan Trust Fund (SLTF). He argued that the current system, which compounds interest on student loans, is unfair to graduates who struggle to find jobs after school.
“A student gets a loan, completes school without employment, and you compound interest mathematically; it is not fair. We may have to return to a fairer interest regime, while safeguarding the Fund’s sustainability,” Mr Iddrisu said.
He also announced that students of the Ghana School of Law are now eligible to apply for loans under the SLTF. Additionally, he reiterated the need for timely disbursement of funds by the Ministry of Finance to ensure the success of the government’s ‘No Fee Stress’ initiative.
Mr Iddrisu urged the government to allocate 2.5 per cent of the country’s oil revenue to human capital development. He proposed the merger of the Ghana Scholarships Secretariat and the SLTF into a single entity — the Ghana Bursaries and Scholarship Authority — to streamline bursary and loan administration.
Furthermore, the Minister cautioned tertiary institutions against exploiting the ‘No Fee Stress’ initiative by increasing fees. He warned that such practices would defeat the purpose of the policy.