By Kwabena Adu Koranteng
Ghana’s public financial integrity has come under renewed scrutiny following the discovery of a GH¢138.91 billion overstatement in the country’s reported public debt, according to the latest Auditor-General’s report on the Whole-of-Government Accounts (WGA) for the fiscal year ending December 2024.
The Controller and Accountant-General (CAG) reported a total public debt of GH¢876.08 billion, significantly higher than the GH¢737.17 billion recorded by the Ministry of Finance. This gap has raised serious concerns over the reliability of Ghana’s fiscal reporting framework.
The report asserts that this overstatement breaches Section 54 of the Public Financial Management Act, 2016 (Act 921), which mandates the accurate and complete reporting of public debt. Furthermore, it violates International Public Sector Accounting Standards (IPSAS), specifically IPSAS 1 and IPSAS 35, which require transparent and faithful representation of government financial performance and position.
Breakdown of the Overstatement:
External debt: Overstated by GH¢1.7 billion
Domestic debt: Overstated by GH¢132.9 billion
COCOBOD loans:
Domestic debt: Overstated by GH¢4.1 billion
External debt: Understated by GH¢2.1 million
Implications:
This revelation could have far-reaching consequences for Ghana’s creditworthiness, donor confidence, and macroeconomic management, especially as the country navigates a fragile economic recovery and ongoing negotiations with the IMF. It may also expose systemic flaws in the government’s financial consolidation processes.
The Auditor-General’s findings are expected to intensify calls for stronger parliamentary oversight, reforms in the Controller and Accountant-General’s Department, and a re-evaluation of Ghana’s public debt reconciliation mechanisms.
What Next:
Stakeholders in civil society and parliament have already begun demanding a forensic audit into the discrepancies and sanctions for accountability failures. The Ministry of Finance has yet to issue a formal response.
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