Finance Minister lays Value for Money Office Bill before Parliament

The Minister of Finance, Dr Cassiel Ato Forson, has laid before Parliament the Value for Money Office Bill, describing it as a decisive step to tackle chronic inefficiencies in the country’s public financial management system.

Presenting the Bill on the floor of the House yesterday, Dr Forson said the proposed legislation was aimed at addressing persistent challenges, including inflated contracts, abandoned projects, cost overruns and wasteful public expenditure.

The Finance Minister said the Bill also sought to institutionalise a comprehensive value for money framework to ensure that every cedi spent by the government delivered maximum benefit to citizens in terms of economy, efficiency, effectiveness, equity and sustainability.

He explained that the proposed Value for Money Office would function as a specialised and independent oversight institution with a clear technical mandate.

The office would conduct value for money assessments, issue mandatory value for money certificates before major contracts are awarded, and monitor compliance and enforce sanctions where violations occur.

Dr Forson emphasised that the overarching objective of the Bill is to strengthen fiscal discipline, reduce waste, promote public confidence and reinforce the governance and accountability architecture of the country.

He further stated that the legislation would help curb contract inflation, ensure uniform pricing across government entities and transform Ghana’s public financial management landscape.

By strengthening oversight and enforcing compliance, the office is expected to generate measurable cost savings, improve the quality of public sector projects and promote more equitable resource distribution.

Best practice

The Finance Minister indicated that the Bill brought the country in line with established international best practices in public expenditure management.

He cited examples from the National Audit Office, the Government Accountability Office, and value-for-money frameworks in Canada and other advanced jurisdictions as models that had enhanced accountability and optimised the use of public funds.

Dr Forson expressed the confidence that the establishment of the Value for Money Office would not only enhance public trust and investor confidence but also ensure that public investments deliver tangible social and economic returns for the Ghanaian people.