Divisions

About MOF

Budget Division

LEADERSHIP OF THE BUDGET DIVISION

The following are the senior management positions within the Division.


THE DIRECTOR OF BUDGET

The Director of Budget is the Head of the Budget Class. The Office of Director develops government-wide policies and provides strategic direction to improve financial management, reporting, and budgeting systems, advises the Minister on resources to be allocated to the public sector and the level of resources to be allocated to individual programmes and activities. The Director oversees the preparation and implementation of the Budget and ensures that systems are established throughout the public sector to ensure efficient budgeting for the use of resources.

The Director of Budget is also the Administrative and Technical Head of the Budget Division of the Ministry and is responsible for all the Budget functions within the Ministry of Finance. The Director of Budget therefore in addition to the national duties has oversight responsibility of the operations of the Division and under him are 7 Units and 5 Sectional Heads. The Director of Budget has a Secretariat that provides secretarial and administrative support to the Directorate.


THE DIRECTOR OF BUDGET’S SECRETARIAT

The Secretariat Head is responsible for all administrative and logistics requirements of the Director of Budget. The Head has the responsibility to provide efficient and effective secretarial support to the Director of Budget as well as managing reception for the Office of the Director.

 
UNIT HEAD, BUDGET DEVELOPMENT

The Unit Head has the responsibility for coordinating the process for preparation of the national medium-term and annual Budgets, related Government policies, reviewing processes and systems in the Budget cycle, guidance for and training of MDAs’ Budget Officers as well as overseeing the management and control of Central Votes provided for in the Budget.

 
SCHEDULE HEADS, BUDGET EXECUTION

The Schedule Heads for Budget Execution are to ensure adherence to budgetary control measures, supervise the Budget execution processes and make recommendations to the Director of Budget in relation to their assigned sectors, sector MDAs or obligations. They also have responsibility for implementation of the approved national Budget in line with the Appropriation Act and Economic Classifications.
The Heads in addition assist the Budget Development Unit and MDAs to prepare their MTEF Budget, analyse MDAs’ budget performance, represent the Budget Division on MDA Budget Committees and provide budget implementation status reports and policy briefs on programmes and activities implemented under MDAs’ budgets.

 
UNIT HEAD, PUBLIC EXPENDITURE MANAGEMENT

The Public Expenditure Management Unit Head is responsible for cash and Treasury management, (including issuance of cash ceiling instructions), revenue and expenditure review, analysis and reporting, commitment and contracts management as well as the monitoring and reconciliation of fiscal data. The Unit also coordinates the PEFA Assessment and IMF PFM reform mission programme.

 
UNIT HEAD, NON-TAX REVENUE UNIT

The Unit Head oversees the mobilization and management of non-tax revenue and Internally Generated Funds (NTR/IGF) by MDAs, including all other organisations that subsist on the budget and generate NTR/IGF. The officer in charge also facilitates the payment of dividends in respect of Government Equity Investment in State Owned Enterprises and Joint Venture Companies (SOEs/JVCs).

The Unit Head is responsible for developing policy initiatives to improve NTR mobilization and management across SOEs/JVCs and MDAs as well as harness the potential of NTR/IGF. In addition, the post holder undertakes monitoring and evaluation of NTR/IGF performance and periodic legislative reviews for NTR/IGF enhancement.

 
UNIT HEAD, BUDGET REFORMS

The Head of the Budget Reforms Unit is to facilitate the implementation of all Budget reforms including the introduction of Programme Based Budgeting and Fiscal Decentralisation, ensuring strengthening of each element of the budget process. The Budget Reforms Head also advises the Director of Budget on issues relating to Budget Reforms and provides strategic and policy guidance to the MDAs Budget Working Group.

 
UNIT HEAD, COMPENSATION OF EMPLOYEES

The Head of the Unit is responsible for compensation negotiations, implementation monitoring, reconciliation and validations of Compensation of Employees’ in the budget (including biometric data).

 
UNIT HEAD, FISCAL DECENTRALISATION

The Head of the Fiscal Decentralisation Unit is to coordinate intergovernmental fiscal relations of central government and MMDAs. The Unit Head oversees inter-governmental fiscal transfers, including provision of advice on related Government policies, reviewing processes and systems in the transfers cycle, providing guidance for and training of MMDAs, as well as to supervise the local government financing arrangements at the MMDA level through the implementation of a composite budget which is to link the MMDAs budget system with the national budget process.

The Unit Head has the responsibility of providing a wide range of support to the Director of Budget and advices the Director in the area of quality assurance and research issues. He also provides the function of custodian of policies, guidelines and manuals of the division.

 
UNIT HEAD, BUDGET TECHNICAL ASSISTANCE AND SUPPORT

The Head is responsible for the development and provision of direction in the use of Information Technology as well as IT systems support to all the units of the Budget Division and is responsible for all Budget technical issues in relation to budget systems both at the national and the MMDAs level. The position is also responsible for linkages with the GIFMIS system as well as to ensure that electronic reports from the GIFMIS, Budget or electronic systems put in place are generated.

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MANDATE

The empowering legislation that provides the mandated authorities under which the Budget Division operates includes:

  • The Public Financial Management Act, 2016 Act 921 (PFMA)
  • The Public Financial Management Regulations, 2019 L.I. 2378 (PFMR)
  • The Internal Audit Agency Act, 2003 Act 658 (IAA)
  • The Public Procurement Act, 2003 Act 663 (PPA).
     
FUNCTIONS AND RESPONSIBILITIES OF THE BUDGET DIVISION

The Budget Division falls under the Finance Branch of the Ministry of Finance.

The functions and responsibilities of the Budget Division are to:

  • Contribute to the formulation and implementation of the Government of Ghana’s financial and economic policies, through the provision of policy advice to the Minister and Government
  • Co-ordinate the formulation and preparation of the national medium-term and annual Budgets and assist the Minister to prepare the Economic and Financial Statement of Government
  • Implement the annual Budget, in conjunction with the Controller and Accountant General’s Department
  • Contribute to the mobilisation of internal and external resources
  • Allocate the Budget financial resources efficiently, effectively and rationally to sectors, MDAs and MMDAs
  • Account for all public revenues and expenditures under the Division’s control or purview and undertake efficient and effective monitoring
  • Provide guidance to MDAs and MMDAs in the preparation, implementation and monitoring of budgets and revenues
  • Lead the development and implementation of designated Budget and financial management reforms
  • Maintain and improve the human resource, asset base and institutional management capacity of the Division.
External Resource Mobilisation & Economic Relations Division
  • External Resource Mobilisation - Bilateral Division (ERM-B)
  • External Resource Mobilisation - Multilateral Division (ERM-M)

The External Resources Mobilization - Bilateral (ERM-B) Division is responsible for external economic relations, mobilizing and managing of external resources from Bilateral Development Partners (DPs) to support the implementation of the country’s development programmes aimed at achieving macro-economic stability and promoting sustainable economic growth and development. 

MANDATE 

The mandate of the Division is to mobilize external resources in the form of grants, loans, technical assistance and other external financing instruments to complement domestic resources mobilization, without compromising new and emerging financing sources, considering the changing development assistance architecture and Ghana’s oil and middle-income status.

The sourcing of external resources is done on behalf of the Government of Ghana (GoG), through the statutory authority of the Minister responsible for Finance in accordance with the Public Financial Management Act, 2016 (Act 921) and Article 181 of the 1992 Constitution. The Division, within this framework, supports the Minister to perform his statutory mandate of mobilizing external resources and ensuring their efficient utilization. 

The External Resources Mobilization Divisions (ERMDs) are responsible for sourcing of external resources on behalf of the Government of Ghana (GoG), through the statutory authority of the Minister responsible for Finance in accordance with the Public Financial Management Act, 2016 (Act 921) and Article 181 of the 1992 Constitution.

In addition, to the sourcing of the external resources, the Divisions are responsible for the management of Ghana’s economic cooperation with its external Multilateral Development Institutions and with sovereign states.

The ERMDs comprises two Divisions, Bilateral and Multilateral. The Bilateral Division coordinates Ghana’s development cooperation with countries whilst the Multilateral Division deals with multilateral development institutions.

Currently, there are Thirty-One (31) Development Partners (DPs) comprising twenty-two (22) Bilateral countries and eleven (11) Multilaterals institutions funding 160 projects/programmes in Ghana mainly in the Social, Infrastructure, Administration and Economic sectors.

  • External Resource Mobilisation - Bilateral Division (ERM-B)
  • External Resource Mobilisation - Multilateral Division (ERM-M)

The ERM-B is to provide advice and strategic support to management in a manner that promotes and enhances the national interest and to ensure the optimum mobilization of external resources as well as the effective and efficient utilization of the resources mobilized. Function of the ERM-B includes: 

  • Formulation of development cooperation policies and agreements that properly align external assistance to national priorities;
  • Mobilization of external resources in the form of grants, loans, mixed credits and other bilateral financing instruments to complement shortfalls in domestic resources needed to support the national budget;
  • Oversight responsibilities in the effective utilization of DP funds, project implementation and monitoring to achieve development outcomes;
  • Coordination of bilateral external economic relations with other MDAs in the area of trade, investments, human resource training, private sector activities among others;
  • Conduct development financing policy papers to guide future development cooperation and government public financial arrangements;
  • Advise on operational efficiencies by developing relevant systems, procedures and controls to guide our engagement with development partners (DPs) and MDAs;
  • Promotion of satisfactory and improved client relationships with DPs, MDAs, MMDAs, CSOs, academia, public and other stakeholders; 
  • Provide upgrading of staff technical skills to confront the changing architecture in development cooperation; and 
  • Any other function as directed by the Minister for Finance.
  • We mobilize external funds from multilateral agencies to complement domestic resource mobilization to support Ghana’s growth and development agenda.
  • We coordinate Ghana’s economic and development cooperation with international finance organizations and bilateral countries,
  • Monitoring compliance with international/bilateral obligations and standards.
  • Processing of international/bilateral financial transactions in the form of Programmes and Projects.
  • Record and report on all Official Development Assistance to Ghana.

The Division consists of five (5) Units, which in themselves are a grouping of multilateral institutions that have similar processes and functions to facilitate the coordination of their portfolio. The five Units are:

  • AfDB, AU & ECOWAS Unit
  • ACP & EU Unit
  • BADEA, IFAD & OPEC Unit
  • United Nations Systems Unit, and
  • World Bank Unit

The ERM (Multilateral) Division engages with the following Multilateral Development Institutions who have an active portfolio in Ghana.

  1. African Development Bank (AfDB)

The African Development Bank is a regional multilateral development finance institution established in 1964 to mobilize resources for the funding of economic development and social projects and programmes of its Regional Member Countries (RMCs). It is headquartered in Abidjan, Côte d’Ivoire. Ghana is one of the founding members of the Bank having become a member in 1964. The Bank Group commenced its operational activities in Ghana in 1973 with the financing of the Nasia Rice Project.

  1. African Caribbean Pacific Group of States (ACP)

The African, Caribbean and Pacific Group of States (ACP) is an organisation created by the Georgetown Agreement in 1975. It is composed of 79 African, Caribbean and Pacific states, with all of them, save Cuba, signatories to the Cotonou Agreement, also known as the "ACP-EC Partnership Agreement" which binds them to the European Union. There are 48 countries from Sub-Saharan Africa, 16 from the Caribbean and 15 from the Pacific.

  1. African Union (AU)

The AU is a continental union consisting of all 55 countries on the African continent, including the 6% of Egypt that is geographically in Asia. It was established on 26 May 2001 in Addis Ababa, Ethiopia, and launched on 9 July 2002 in South Africa, with the aim of replacing the Organization of African Unity (OAU).

  1. Arab Bank for Economic Development in Africa (BADEA)

The Arab Bank for Economic Development in Africa (BADEA) was established pursuant to the resolution of the 6th Arab Summit Conference at Algiers (28th November 1973). The Bank began operations in March 1975. The Bank was created for the purpose of strengthening economic, financial and technical cooperation between the Arab and African regions and for the embodiment of Arab-African solidarity on foundations of equality and friendship.

  1. European Union (EU)

The European Development Fund (EDF) is the main instrument for European Union (EU) aid for development cooperation in Africa, the Caribbean, and Pacific (ACP Group) countries and the Overseas Countries and Territories (OCT). Funding is provided by voluntary donations by EU member states.[1] The EDF is subject to its own financial rules and procedures, and is managed by the European Commission (EC) and the European Investment Bank.

  1. Economic Community of West African States (ECOWAS)

The Economic Community of West African States (ECOWAS) was established on May 28 1975 via the treaty of Lagos, ECOWAS is a 15-member regional group with a mandate of promoting economic integration in all fields of activity of the constituting countries.

  1. ECOWAS Bank for Investment and Development (EBID)

EBID is the financial institution established by the 15 Member States of ECOWAS comprising Benin, Burkina Faso, Capo Verde, Côte d’Ivoire, The Gambia, Ghana, Guinea, Guinea-Bissau, Liberia, Mali, Niger, Nigeria, Senegal, Sierra Leone and Togo. The Bank’s headquarters is in Lome, Togo. EBID aims at contributing to the economic development of West Africa through the financing of projects and programmes in particular, those related to transport, energy, telecommunications, industry, poverty alleviation, the environment and natural resources.

  1. International Fund for Agricultural Development (IFAD)

The International Fund for Agricultural Development (IFAD), a specialized agency of the United Nations, was established as an international financial institution in 1977 as one of the major outcomes of the 1974 World Food Conference. IFAD is dedicated to eradicating rural poverty in developing countries.

  1. OPEC Fund for International Development (OFID)

The OPEC Fund for International Development (OFID) is the development finance institution established by the Member States of OPEC in 1976 as a channel of aid to the developing countries. It does this by providing financing to build essential infrastructure, strengthen social services delivery and promote productivity, competitiveness and trade.

  1. Nordic Development Fund (NDF)

The Nordic Development Fund (NDF) is a multilateral development finance institution established by Denmark, Finland, Iceland, Norway and Sweden in 1988. The objective of NDF's operations is to facilitate climate change investments primarily in low-income countries. NDF finances projects usually in cooperation with bilateral, multilateral and other development institutions. The operations mirror the Nordic countries’ priorities in the areas of climate change and development. NDF’s capital is provided from the development cooperation budgets of the five Nordic countries.

  1. United Nations Systems (UN)

The UN is an intergovernmental organization tasked to promote international co-operation and to create and maintain international order. The organization is financed by assessed and voluntary contributions from its member states. Its objectives include maintaining international peace and security, promoting human rights, fostering social and economic development, protecting the environment, and providing humanitarian aid in cases of famine, natural disaster, and armed conflict. The UN is the largest, most familiar, most internationally represented and most powerful intergovernmental organization in the world.

  1. World Bank (WB)

Established in 1944, the World Bank Group is headquartered in Washington, D.C. The WB provides low-interest loans, zero to low-interest credits, and grants to developing countries. These support a wide array of investments in such areas as education, health, public administration, infrastructure, financial and private sector development, agriculture, and environmental and natural resource management. The World Bank Group consists of the following five organizations; IBRD, IDA, IFC, MIGA and ICSID. Lending to Ghana is done under the IDA window.

Economic Strategy & Research Division

The Economic Research and Forecasting Division (ERFD) is one of the divisions under the Economic Strategy Branch (ESB) of the Ministry of Finance. The strategic role of the Division is to analyse, research and provide policy advice on matters relating to macroeconomic policies to contribute towards the fulfilment of Ministry of Finance’s (MoF) mandate.

As the macroeconomic arm and think-tank of the Ministry, the Division liaises with regional and international financial organizations such as the International Monetary Fund (IMF), African Development Bank (AfDB), Economic Community of West African States (ECOWAS), West African Monetary Institute (WAMI), and the World Bank in monitoring and reporting on the performance of Ghana’s economy and its outlook.

 

VISION

To be recognised as a highly trusted, professional and reliable source of macroeconomic policy analysis and research. 

 

MISSION

To inform and guide government’s macro-fiscal policies through the provision of high quality research, macroeconomic analysis and policy advice.

FUNCTIONS OF ERFD

  • To undertake macroeconomic policy analysis  and coordinate the preparation of the medium-term macroeconomic framework; 
  • Undertake fiscal policy analysis and coordinate the preparation of medium term fiscal framework;
  • To conduct research on relevant macroeconomic issues affecting the economy;
  • Undertake policy analysis on global/regional developments and outlook to support macroeconomic policy management;
  • To provide reliable forecasts on key economic variables; 
  • Coordinate macroeconomic multilateral surveillance missions of international and regional bodies such as the  IMF, ECOWAS, WAMA, and WAMI;  
  • To produce relevant reports on the economy;
  • To provide robust fiscal risks analysis; and
  • To provide macro-fiscal policy advise to support effective macroeconomic management.

KEY DELIVERABLES OF ERFD

  • Medium Term Fiscal Framework;
  • Monthly fiscal data;
  • Monthly briefs on fiscal performance;
  • Annual and Monthly Fiscal Newsletters;
  • Inputs on Macroeconomic Performance/Outlook into Fiscal Strategy Document, Budget Guidelines, Budget Statement, and Mid-Year Review;
  • Quarterly, semi-annual, and annual reports on the performance of the economy;
  • Policy briefs on topical economic issues;
  • Research publications and working papers on relevant topics on the economy;
  • Data on key socio-economic indicators;
  • Relevant macroeconomic models;
  • Report on fiscal risks;
  • Forecast evaluation reports; and
  • Weekly Snapshots of Global Developments;

UNITS UNDER ERFD

There are three units in the ERFD, namely:
1.    Fiscal Policy Unit (FPU);
2.    Macroeconomic Research Unit (MRU); and 
3.    International Economic Policy Unit (IEPU) 

FISCAL POLICY UNIT (FPU)

The Fiscal Policy Unit undertakes fiscal policy analysis and monitors/evaluates the impact of fiscal policies within the macro-fiscal framework to ensure adherence to fiscal targets. The Unit recommends remedial measures when the need arises to ensure that fiscal targets are on track. It also prepares relevant fiscal reports and inputs into the annual Budget, Fiscal Strategy Document, Mid-Year Review, and Cabinet papers on the fiscal issues. In addition, the Unit supports the preparation of papers for ministerial press briefings on macroeconomic issues. 

The Unit in collaboration with the MRU and other divisions/departments of the Ministry prepares the medium term fiscal framework for the economy. It also collects fiscal data from the relevant Divisions and Institutions and compiles the monthly fiscal data and Government finance statistics for publication. The Unit coordinates the preparation of the Fiscal Strategy Document (FSD) with the Macroeconomic Research Unit (MRU). With support from other units and divisions, the FPU also coordinates the activities in relation to the Economic Policy Coordinating Committee (EPCC) and the IMF-GoG engagements. 

MACROECONOMIC RESEARCH UNIT (MRU)

The Macroeconomic Research Unit (MRU) is mainly responsible for undertaking macroeconomic policy analysis and the production of research on current and topical issues to inform debate and macroeconomic policy decision-making. 

With the support of other units and divisions in the Ministry and external stakeholders such as BOG, GSS, NDPC, the Unit coordinates the conduct of macroeconomic research activities, the development of relevant macroeconomic models, and development of the medium term macroeconomic framework for the Ministry. The Unit is also responsible for the development and management of comprehensive database on socio-economic variables and occasionally conducts mini-surveys for policy analysis and advice. The MRU collaborates with the FPU to coordinate the preparation of the quarterly, semi-annual and annual macroeconomic performance reports. The Unit is also responsible for coordinating the preparation of other publications such as policy briefs and working papers.  

INTERNATIONAL ECONOMIC POLICY UNIT (IEPU)

The IEPU is responsible for policy analysis on global/regional developments and outlook and their implications on the Ghanaian economy to support macroeconomic policy management. 

The Unit also undertakes policy analysis and advises the Ministry on economic integration issues in consultation with the Ghana Revenue Authority (GRA), Ministry of Foreign Affairs and Regional Integration (MFARI) and the Ministry of Trade and Industry (MoTI). More specifically, the IEPU analyses the ECOWAS integration programmes and coordinates multilateral surveillance activities of the ECOWAS/WAMI/WAMA in the Ministry. As part of this function, the Unit hosts the Ghana National Coordination Committee (Ghana NCC) which is chaired by the Director of ERFD under which the ECOWAS multilateral surveillance is conducted. In addition, the IEPU monitors Ghana’s performance on the ECOWAS primary and secondary convergence criteria. The Unit also provides inputs to the ECOWAS regional economic database. 

Financial Sector Division

FINANCIAL SECTOR DIVISION (FSD)

The FSD is mandated to provide policy-based and strategic analysis on Ghana’s financial sector and oversee the implementation of strategies to strengthen financial intermediation in Ghana.  In doing so, the FSD plays a collaborative role with regulators and industry stakeholders in the formulation of policies and strategies as well as the implementation of projects in the financial sector.

 

VISION

To promote sustained growth and development of the financial sector through supporting policy and legislative reforms to generate significant tangible economic and social contributions at a national level that will align Ghana’s financial sector with international best practices. 

MISSION

To formulate, advise and coordinate the efforts of regulators and other relevant stakeholders towards deepening financial markets, promote financial inclusion, enhance the supervision and regulation of the financial institutions.

FUNCTIONS

  • Formulate policy and guidelines, and advise the Minister of Finance on issues relevant to Financial stability, transparency and integrity, financial structure, development and soundness.
  • Coordinate and enforce financial sector policies and activities of regulators and other national stakeholders to facilitate the attainment of objectives of financial sector initiatives in line with government policies and social contract across industry.
  • Monitor and evaluate to ensure that government economic policy is supported by a smooth and well-functioning financial system.
  • Examine vulnerabilities affecting the financial system and determine actions required to address them to effectively to promote confidence and maintain credibility in the financial sector.
  • Promote and facilitate the education, public awareness and financial inclusion and literacy of the public and capacity building of regulatory bodies in the financial sector.
 Units under Financial Sector Division:
  • Development Finance Unit,
  • Banking and Non-Banking Unit,
  • Capital Market Unit
  • Pensions and Insurance Unit.

DEVELOPMENT FINANCE UNIT

Development finance encompasses alternative financial initiatives involving microfinance, community development and revolving loan funds. Our role involves:

  • The crucial role of providing credit in the form of higher risk loans, equity positions and risk guarantee instruments as a complement to private sector investments in developing countries.
  • The Unit maintains oversight responsibility and policy development functions on all microfinance institutions, MASLOC, and Venture Capital Funds. In view of its development focus, it works with National Investment Bank (NIB), Exim bank, and Agricultural Development Bank (ADB) for aspects of their activities directed relating to development and poverty reduction.
  •  The unit is also in the forefront of policy initiation for micro insurance, informal pensions and other such initiatives undertaken between financial service providers and low income earners and/or the financially excluded.
  • consumer issues such as policies and legislation regarding access to finance, disclosure and recourse mechanism and initiatives to promote financial  capability

Financial markets are analytical viewed across a maturity spectrum.

  • Money market: short-end of the market for instruments with maturities of one year or less.
  • Capital Markets (Equity and Debt): market for instruments with maturities of one year or more-medium-term and long-term maturities.
  • Capital Markets are also defined to include derivative market; Options, Swaps written on standard capital market instruments.

UNIT MANDATE

  • The Capital market Unit is responsible for providing policy-based and strategic analysis on Ghana’s financial sector (capital market and related segment of the market) and oversee the implementation of strategies to strengthen, broaden and deepen capital markets.
  • We play an oversight role through policy advise, formulation, sector policy analysis, monitoring and coordinating with stakeholders towards the implementation of policy initiatives in the sector.

FUNCTIONS

  • Collect and analyze capital market data i.e. market reports, financial statements to inform policy decision
  • Review policy documents and reports, capital market legislation to inform policy recommendations
  • Conduct research  into both domestic and international markets to inform policy proposals
  • Liaise and coordinate with industry stakeholders towards ensuring policy harmonization 
  • Monitor developments and report on capital market activities
  • Field visit to the SEC, the GSE and the Industry Association for market updates 
  • Provide Input for the Division’s quarterly and annual reports
  • Provide input for the Division’s annual budget that feeds into the National Budget Statement and Economic policy of Government
  • Implement financial sector strategies towards the development of the capital market 

MAJOR STRATEGIC INITIATIVES

The Unit is currently spearheading and facilitating the following policy initiatives;

  • Guidelines on Real Estate Investment Trust (REIT) and Mortgage Backed Securities to promote real-estate investment to help solve the housing deficit in the Country.
  • The capital market local content policy that enjoins companies in the energy, oil and gas, financial services, telecommunications, and mining sectors to list a pre-determined percentage of their shares on the GSE
  • Exempt financial services industry from stamp duty for 2 years to enable the re-capitalization of the industry;  
  • Revision of the minimum capital requirement and licensing regime for the capital market industry
  • Strengthening the regulatory capacity of the Securities and Exchange Commission (SEC) and market operators –financial sustainability, market surveillance system and market portal for improved market oversight
  • Facilitate the work of the Capital Market Working Group
  • Identification and harmonization of capital market laws and guidelines to plug gaps and facilitate market operation – i.e. regulatory reforms in pension and insurance.

IMPLEMENTATION OF A FINANCIAL INCLUSION STRATEGY- For ensuring:

  • financial stability and soundness
  • orderly deployment of financial infrastructure
  • Financial access to quality and trusted financial product and services.
  • Financial literacy and capacity especially on the part of consumers of financial services and products.
  • Financial consumer protection.

REMITTANCE PROJECT

  • Executive the remittance grant project aimed at reducing the cost of remittances into Ghana and redirect financial consumer behavior from consumption into investment and pensions
  • Conduct a study into the dynamics and market forces into the remittance market to aid policy decision making.
  • Establish modalities leading to the issuance of Diaspora bonds.  

E-SERVICES PORTAL: DIGITIZATION OF GOVERNMENT PAYMENTS TO IMPROVE EFFICIENCY OF GOV’T SERVICE DELIVERY

  • Assist MDAs in the rollout a programme for the digitization of Persons to Government (P2G) Payments by making available a detailed research report to enable government prioritize and prescribes the models for digitizing payments to the MDAs.

PROJECT AND HOUSING FINANCE

  • Investment in housing and the housing finance system to cater for the needs of the poor.
  • Innovative housing and housing microfinance solutions
  • Executing initiatives that will attract funding for projects under self-financing (cash flow generating) arrangements.

General responsibilities of Bank & NBFIs Unit include:

  • Conducts analysis and provide advice on (i) structural issues relating to ownership, investment, foreign entrant and corporate governance; (ii) competition issues in Bank & NBFIs industry;
  • Monitor and advice on major financial transactions including mergers and acquisitions in Bank & NBFIs industry;
  • Conducts research and analyses performance of Bank & NBFIs subsector;
  • Regularly updating legislation and regulation and provide advice on legislative and regulatory reforms for policy development of Bank & NBFIs subsector.

FUNCTIONAL RELATIONS

The Unit collaborates with other units in FSD regarding information sharing and implementation of Division’s programmes including organization of National Financial Literacy Week. In providing policy advice and analysis on regulatory and stability issues, the Unit works closely with Bank of Ghana (Banking Supervision Department, Other Financial Institutions Supervision Department, Legal Department, Banking Department, Financial Stability Department) on efficient functioning of the subsector; the Financial Intelligence Center of Ghana on policies relating to combating money-laundering and the financing of terrorism; the Ghana Inter-bank Payment Settlement System on matters relating to payment system clearing and settlement; the Debt Management Division on information on government borrowing. Other stakeholders are the Ghana Association of Bankers, the ARB Apex Bank, and the Ghana Microfinance Institutions Network.

The Pensions and Insurance Unit is one of the four units of the FSD.  It’s made up of Pensions and Insurance Desks and its primary object is to ensure deepening of the financial sector by providing effective policy direction to the Ministry on Pensions and Insurance and other related issues. This unit is also responsible for the monitoring of sector performance and plays a lead role in developing sector policy initiatives.

The operations of the insurance and pensions industry are guided by the Insurance Act, 2006 (Act 724) which replaced Insurance Law, 1989 (P.N.D.C.L. 227) and Pensions Act, 2008 (Act 766 respectively.  The unit collaborates with the following institutions to perform its functions and to achieve its objective:

  • National Insurance Commission
  • Ghana Insurers Association
  • Ghana Insurance Brokers Association
  • National Pensions And Regulatory Authority
  • Social Security And National Insurance Trust
  • Pension Corporate Trustees
  • Pension Fund Managers
  • Pensions  Fund Custodian

HIGHLIGHTS ON SOME ONGOING SECTOR ACTIVITIES

  • Establishment of an informal pensions scheme to cater for the informal sector. This initiative came as a result of a research that indicated that more than 80% of adult Ghanaians retire from active labour force without pensions. This is envisaged to improve access to formal financial services which will deepen financial inclusion.
  • Passage of a new Regulatory Framework (new insurance Act, Regulations and Codes) to replace the Insurance Act, 2006 (Act 724).  The new regulatory Framework will ensure compliance to international standards, for example on Governance and internal control, risk-based supervision, group supervision, preventive and corrective measures. 
  • Development of the Insurance Brokers Market to facilitate insurance transactions and improve confidence in the sector.
  • Reforms in the Pensions and Insurance Industry to boost capital market development.

 

Human Capital & General Administration Division

The General Administration Division is at the core of all the activities of the Ministry and is central to the effective functioning of the Ministry.  This Division handles the administrative business of the Ministry by ensuring that services and facilities necessary to support the efficient performance of the Divisions of the Ministry are available. The Division is responsible for developing and implementing the Ministry’s administrative policies, some of which are Ministry specific and others which are Service-wide in nature.

The division provides the following services:

  • Development and implementation of the Ministry’s administrative policies
  • Implementation of Human Resource policies, circulars, and guidelines existing in the Ghana Civil Service. 
  • Development of the capacity of staff for transparent, accountable, efficient and effective performance/service delivery.
  • Implementation of the Ministry’s communication strategy.
  • Facilitation of internal and external audits & Accounting/Treasury activities.
  • Formulation and implementation of the procurement plan for the Ministry in line with the Public Procurement Act.
  • Maintenance of the Office Facility and equipment.
  • Ensure a robust and effective IT infrastructure and Services to support the business processes of the Ministry.
     

The Division performs its functions via eight (8) units each of which is headed by a Senior Officer:

  • General Services 
  • Human Resource 
  • Procurement/Stores
  • Transport
  • Public Relations
  • Security
  • Accounts
  • ICT
Internal Audit Directorate

OBJECTIVES

The Internal Audit Unit is an advisory body in the Ministry of Finance that is mandated to provide an in-house independent, objective assurance and consulting activity designed to add value and improve the Ministry’s operations.  

The Internal Audit Unit assists Ministry to accomplish its objectives by formulating a systematic disciplined approach to evaluate and improve the effectiveness of risk management, internal control, and corporate governance processes. 

 

MISSION

The empowering legislation that provides the mandated authorities under which the Internal Audit Unit operates includes:

  • The Public Financial Management Act, 2016 Act 921 
  • The Internal Audit Agency Act, 2003 Act 658 (IAA) 
  • Internal Standards for the professional practice of internal auditing  
  • International Financial Reporting Standard (IFRS) 
  • International Public Sector Accounting Standards (IPSAS) 
  • Internal Audit Charter,2018.

FUNCTIONS AND RESPONSIBILITIES 

The functions and responsibilities of the internal Audit Unit are to:

  • Appraise and report on the soundness and application of the system of controls operating in the Ministry 
  • Evaluate the effectiveness of the risk management and governance process of the Ministry and contribute to the improvement of that risk management and governance process 
  • Provide assurance on the efficiency, effectiveness, and economy in the administration of the programmes and operations of the Ministry 
  • Evaluate compliance of the Ministry with enactments, policies, standards, systems, and procedures

  • Perform consulting and advisory services related to internal controls, risk management, compliance, and governance processes as appropriate for the Ministry

The Division provides in-house specialized legal advisory support and oversight to the Minister, the Ministry, its Departments and Agencies, and to government generally in the development and implementation of the Ministry’s policy initiatives and in public financial management, to ensure compliance with good public financial management.

 

ADVISORY MANDATE

Advice Hon. Minister on: 

  • Legal issues in policy development and other matters involving the Ministry and other Ministry’s Department and Agencies (MDA’s).
  • The payment of judgment Debts and potential breaches of executed contracts; 
  • Issues involving MDAs that impact the Minister’s role in the management of the economy and as Government’s shareholder in State Owned Enterprises (SOEs)

REPRESENTATIONS MANDATE

  • Represent the Ministry in negotiating:
    • International Agreements with Development Partners, 
    • Bilateral Investment Treaties
    • Double Taxation Agreements
  • Negotiate with lenders and sponsors for national projects and programs;
  • Renegotiation of onerous terms in sole sourced commercial contracts following Value for Money Assessments; 
  • Liaise with the Attorney General’s Department:
    • In resolution of potential claims against the Ministry and other MDA’s,
    • Requests for legal opinions; 
    • MoF’s appearance in Court proceedings as witness

Function of the Legal Division includes: 

  • provision of legal advice and recommendations to the Ministry on policy development and implementation, private sector initiatives and development, the Ministry’s interactions with other MDAs, the work of other Divisions of the Ministry;
  • reviewing and advice on legal, and other, documents, such as loan agreements, financial and investment treaties, MOUs and framework agreements on government’s legal relationship with other governments, etc;
  • drafting legal documents, letters etc, as and when necessary;
  • represent the Ministry in negotiations (Bilateral agreements, loan and financing agreements, etc.);
  • assisting the Attorney General’s (AG) Department to represent the Ministry in Court; 
  • coordinating the Ministry’s efforts to audit and ensure judgment debts and compensations paid are properly calculated, especially regarding applicable interest rates, in order to protect the fiscal, and advice the Minister accordingly; Ensuring Value for Money (VFM) for government on sole sourced projects by coordinating and overseeing VFM assessments in collaboration with external firms contracted for this purpose;
  • Coordinating and provide selected administrative support to the Minister’s office on the Ministerial Advisory Board, the Inter-Ministerial Committee on AML/CFT, and the inauguration of Statutory Boards under the Ministry;
  • supporting the development, (including providing drafting instruction to the AG’s Dept. for the development of Bills), and where necessary, the implementation of the Ministry’s policy initiatives.
  • collaborating with the Ghana Investment Promotion Center and other relevant stakeholders in the negotiation of bilateral investment treaties; and
  • collaborating with the Ghana Revenue Authority and other relevant stakeholders in the negotiation of Double Taxation Agreements.
Policy Coordination, Monitoring & Evaluation Division

The Ministry established a Monitoring and Evaluation Unit in 2011. The Unit  was upgraded to Division status in February, 2016 to strengthen and fully institutionalize the M and E system in recognition of the increasing importance of the M&E function to the work of the Ministry. The upgrade was also done in compliance with the Civil Service requirement that all Ministries should have a Monitoring and Evaluation Division.

The Monitoring and Evaluation Division (M&E), was established to monitor and evaluate the Ministry`s programmes  and projects to  support effective delivery of the Ministry’s mandate The Division is mandated to take the lead role in coordinating all M&E activities in the Ministry to achieve coherence, efficiency and effectiveness in the functioning of the M&E system.

  • To establish an effective well-functioning  integrated Monitoring and Evaluation System for the Ministry
  • To monitor and evaluate progress of policies, projects and programmes under the purview of the Ministry  at regular intervals to ensure their successful implementation;
  • To collect, collate and analyse sector data on indicator achievements  to facilitate  reporting 
  • To prepare and monitor the implementation of the  Sector Medium Term Plan (AWP)
  • To ensure the Ministry`s Budget is aligned with the work plan
  • The Division is charged with the responsibility for the development  and implementation of an integrated monitoring and evaluation  system and processes to ensure timely implementation, reporting and feedback of lessons learnt from the rollout out of the policies and programs into the Ministry’s decision making architecture
  • The Division is also responsible for preparing and tracking implementation of the Ministry’s Sector Medium Term Development Plan and key policy initiatives. 
  • Develop and rollout relevant M&E tools and processes that will support effective monitoring and reporting across the Divisions and Agencies of the Ministry
  • Undertake physical monitoring of projects and programmes
  • To prepare the Ministry`s handing over notes every 4 years
     

KEY DELIVERABLES

  • Preparation of the Sector Medium Term Development Plan
  • Consolidated Monitoring and Evaluation Plans for the Ministry.
  • Preparation of Annual Work Plans 
  • Quarterly progress reports for the Ministry.
  • The  Annual Progress Report for the Ministry for submission to the NDPC
Public Investment & Assets Division

VISION

To be recognized as a highly professional Division within the Ministry of Finance dedicated to the efficient and effective management of public investments, state interests and assets to support Ghana’s accelerated growth.

 

MISSION

The Division exists to ensure efficient and effective management of public investments, state interests and assets for the promotion of sustainable economic growth and development of Ghana through the formulation and enforcement of robust legal, institutional and regulatory frameworks.

 

OBJECTIVES

  • To improve the enabling environment for efficient and effective development, implementation and regulation of Public Private Partnership (PPP) infrastructure and services. 
  • To strengthen Public Investment Management System for efficient and effective delivery of public infrastructure and services. 
  • To strengthen the institutional, legal and regulatory framework for efficient and effective management of State interests in entities and utilization of public assets.

The functions of the Division are given below according to the three (3) units.  

  • Public Investment Program (PIP) Unit
  • Public Private Partnership (PPP) Unit
  • Public Entities and Assets Unit 

 PUBLIC INVESTMENT PROGRAM (PIP) UNIT 

 

  • Establish and facilitate the implementation of a robust regulatory and policy framework to guide Public Investment Management in Ghana. 
  • Support the Project Management Units in MDAs by providing guidelines, templates and manual on PIM to guide the pre-investment process and ensure compliance with regulations.
  • Maintain a comprehensive and reliable electronic database on public infrastructure projects (referred to as the Integrated Bank of Projects) to facilitate project prioritisation and budgeting. 
  • Support the PIP Working Committee by reviewing, analysing and reporting on project documentation including pre-feasibility and feasibility studies for their consideration and decision on the granting of a seal of Quality by the Minister. 
  • Monitor and report on the implementation of the PIP and priority projects and document lessons to feedback into project design, preparation and dissemination.

PUBLIC PRIVATE PARTNERSHIP (PPP) UNIT 

 

The PFA unit will provide the core functions of public investment management and monitoring within the PID. In this way it will be the gatekeeper of the PID and establish and maintain a database that will provide all required information and data on public investment.

The main functions of the unit will be to:

  • Establish a robust policy and regulatory framework to facilitate prompt, efficient and effective PPP project development, execution and oversight. 
  • Provide technical support via the issuance of PPP manuals, guidelines, and templates to guide public authorities in the development, execution and evaluation of PPP projects.
  • Review PPP project documentation referred to the Ministry including prefeasibility and full feasibility studies to ensure that PPP projects meet the requisite quality criteria of value for money, affordability, financial viability, bankability and appropriate transfer of risk. 
  • Review PPP project implementation progress and ex-post evaluation reports submitted by public authorities and prepare periodic aggregate PPP performance report documenting results, challenges and lessons learnt to inform policy refinement, PPP project design and execution. 
  • Review and recommend for consideration potential PPP projects in need of financial assistance for project preparation and transaction advisory services in line with the Project Development Facility (PDF) guidelines. 
  • Liaise with relevant stakeholders to build human capacity in the public sector for PPP project development and implementation as well as sensitize Ghanaian private sector on the PPP process. 
  • Serve as the secretariat for the Technical Committee on PPP Fiscal Commitments and Contingent Liabilities (FCCL) to assess, monitor and report on all fiscal risks associated with PPP projects including Viability Gap Funding. 
  • Serve as the secretariat for the PPP Approval Committee (PPPAC), which is mandated to assess and provide clearance for PPP projects, by maintaining up-to-date records and following-up on PPPAC decisions.   
  • Coordinate the implementation of the Viability Gap Funding (VGF).

PUBLIC ENTITIES AND ASSETS UNIT 

  • Develop policies to promote corporate governance in SOEs, JVCs, and other state entities. 
  • Develop policies for effective management and regulation of state interests in SOEs and JVCs.
  • Liaise with State Interest and Governance Authority (SIGA) to ensure the effective management of SOEs and JVCs.
  • Advise the Minister of Finance on critical financial and procedural issues that may have an impact on State interests and effective and efficient utilization of national assets. 
  • Develop policies for effective management, utilization and regulation of non-financial assets of the state.
Revenue Policy Division

The Revenue Policy Division (RPD) was established in September 2016, to bring together all tax and non-tax revenue functions within the Ministry of Finance. This was to ensure efficiency and cohesion in the Ministry’s domestic revenue mobilization efforts.

 

STRUCTURE OF RPD

The new Division has two main functional Units: Tax Policy Unit (TPU) and Non-Tax Policy Unit (NTPU) supported by ten sub units or Desks. The TPU is made up of five desks namely: Direct Taxation Desk; Indirect Taxation Desk; International Taxation Desk; Tax Exemptions and Legislations Desk and Natural Resource, Research and Monitoring Desk. The NTPU is made up of five desks namely: Economic Sector; Social Sector; Public Safety and Infrastructure Sector; Administrative Sector and Auction Sales of Government Unserviceable Vehicles.

 

VISION

To be recognized for innovation and professionalism in the formulation of sound revenue policies. 

 

MISSION 

To formulate sound and effective revenue policies, ensure its efficient implementation in order to raise revenue for sustainable economic development. 

 

OBJECTIVES

The Division’s objectives are to:

  • Raise revenue for financing government expenditure; 
  • Improve Domestic Revenue mobilization and management; 
  • Encourage savings and investment that promote social justice and equity; and
  • Improve credibility of revenue estimates (i.e. revenue budget). 

FUNCTIONS

The functions of the Revenue Policy Division include the following:

  • Develop and propose tax and non-tax revenue policies;
  • Analyze and propose tax and non-tax revenue legislations working closely with the appropriate institutions;
  • Develop and maintain revenue forecasting and economic models;
  • Work in conjunction with the relevant agencies to undertake sensitization on revenue policy issues to facilitate voluntary compliance;
  • Monitor the implementation and adherence to tax policy obligations under International Agreements and Conventions in Ghana;
  • Represent the Ministry of Finance and the Government of Ghana at negotiations on bilateral and multilateral Treaties and Agreements to ensure that revenue is safeguarded and agreements reached do not conflict with national tax policies;
  • Advice the Minister of Finance on tax and non-tax revenue policy-related issues; and 
  • Any other related responsibilities that will be assigned by the Minister.
Treasury & Debt Management Division

BACKGROUND INFORMATION ON THE ESTABLISHMENT OF DEBT MANAGEMENT

Public borrowing in Ghana is a phenomenon which dates back to the early post-colonial era. Debt management as part of the core functions of the Ministry has evolved substantially over the past several decades. 

The External Debt Secretariat, as the Debt Management Division (DMD) was originally known, was created in the early 1970s by Legislative Instrument 57. Since then, the Division has undergone several changes, eventually becoming a full-fledged Division of the Ministry in 2004.

The primary legislative framework for debt management in Ghana is the 1992 Constitution of the Republic of Ghana. The secondary legislative enactment which also provides guidance and support in the management of the public debt are the Public Financial Management, 2016 Act 921 (PFMA) and the Public Procurement, 2016 Act 914.

The Division is set up with a Front, Middle and Back Office.

DEBT MANAGEMENT OBJECTIVES

The main debt management objective is to minimize the financial cost of the public debt while maintaining the market and operational risks at an acceptable level, taking into account the general objectives of the fiscal and monetary policies. To achieve this, the Division is challenged to pursue rigorously the following six (6) broad objectives:

  • Resource mobilization
    Raise adequate levels of funding to meet government’s financing needs at a minimum cost and prudent level of risk
  • Policy
    Pursue prudent debt management strategies and policies to maintain public debt sustainability
  • Research and Analysis
    Develop and strengthen research as a continuous tool to explore contemporary innovations in raising funds and to facilitate analysis and design of appropriate debt management policies and strategies
  • Operational framework
    Develop relevant systems, procedures and controls to improve operational efficiency and minimize risk within a framework of comprehensive business continuity plan
  • Staff development
    Attract, maintain and promote the needed skill mix of professionals within a comprehensive and systematic capacity development programme to confront the challenges in aid and debt management
  • Client service
    Promote satisfactory and improved client relationships 

CORE VALUES OF THE DIVISION

The Division intends to achieve the above objectives by observing the following core values:

  • Transparency
  • Accountability
  • Team Work
  • Integrity
  • Efficiency
  • Excellence and
  • Dedication.

FUNCTIONS OF DEBT MANAGEMENT

The functions of the Division are to be restructured under the following broad categories: 

BACK OFFICE FUNCTIONS

  • Building and maintaining a comprehensive central external and domestic debt database
  • Implementing Ghana’s aid and debt management objectives, policies and strategies
  • Monitoring the overall utilisation of aid with the view to improving aid absorption capacity
  • Managing loans “on-lent” and ensure timely recovery of debt repayment &
  • Implementing Ghana’s Debt Relief Initiatives, debt reorganisation and restructuring 

MIDDLE OFFICE FUNCTIONS

  • Advising on suitable sources of funding for government projects and programmes
  • Formulation, implementation and updating the country’s debt management objectives policies and strategies
  • Carry out regular analysis of the public debt portfolio and provide appropriate advice
  • Designing and implementing the overall risk management strategies
  • Evaluating loan proposals 

FRONT OFFICE FUNCTIONS

  • Assist in negotiating prudent terms and conditions for new financing commitments
  • Negotiate debt refinancing, reorganization, rescheduling and/or restructuring
  • Investor and Development partners’ relations 

CURRENT SCOPE OF OPERATION

The Division currently manages the total public debt which includes all financial obligations over which Government exercises direct and indirect control.

In this regard, the Division manages and reports on direct government debt and guaranteed debt which may be categorised into but not limited to, direct government to government loans (also known as bilateral loans), multilateral loans, trade credits (include; Letters of Credit, Promissory Notes, etc), commercial loans, other structured financing facilities and all forms of grant with maturities spanning from short term (usually one year or less), medium (more than a year but less than five years) to long term (five years and more). 

TARGETED SCOPE OF OPERATION

In addition to the current scope, the ADMD intends to capture all implicit and explicit contingent liabilities. These should include:

  • All forms/types of publicly guaranteed and non-guarantee external private debt.
  • The targeted instrument of coverage will also be extended to include other sophisticated operations like credit and commodity derivatives, financial leasing, and trading commercial papers.
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