The Ministry of Finance (Ghana) has approved GH¢45.4 billion in contractor and supplier claims for payment after a nationwide audit and verification exercise, while GH¢8.1 billion worth of submissions were rejected due to irregularities.
The update was presented in Parliament on Tuesday, March 10, by Deputy Finance Minister Thomas Nyarko Ampem, who delivered a statement on behalf of the Finance Minister, Cassiel Ato Forson.
According to him, the audit examined GH¢68.7 billion in outstanding claims submitted to government by contractors and suppliers seeking payment for completed projects and services.
Audit Conducted by Ghana Audit Service and External Firms
The verification process was carried out by the Ghana Audit Service in collaboration with international audit firms EY and PwC.
The exercise aimed to determine the legitimacy of payment requests before any funds are released by government.
Mr. Nyarko Ampem explained that the claims reviewed included Interim Payment Certificates (IPCs), invoices and bank transfer advices linked to advances owed to contractors and suppliers.
Breakdown of Claims Reviewed
The Deputy Minister disclosed that:
- GH¢5.5 billion represented outstanding IPCs and invoices
- GH¢18.3 billion consisted of bank transfer advices submitted for settlement
Following the verification process, auditors validated GH¢45.4 billion of the total claims as legitimate and eligible for payment.
However, GH¢8.1 billion was rejected outright after investigators discovered irregularities in several submissions.
Reasons for Rejection
The audit identified multiple issues in the disqualified claims, including:
- Unsupported or incomplete documentation
- Duplicate submissions
- Overstated payment amounts
- Claims for work that had already been paid for
- Falsified receipt advices
- Payment requests for projects that had not been executed
Officials say these findings underscore the need for stricter verification before government funds are released.
Additional Claims Under Further Review
Beyond the rejected claims, the audit also flagged GH¢13.3 billion worth of submissions that require further validation.
These claims remain under review due to inadequate documentation, missing contracts, or the absence of third-party confirmations.
Audit Summary
The Ministry presented the following breakdown of the audit results:
- Total claims audited: GH¢68.77 billion
- Validated for payment: GH¢45.4 billion
- Rejected: GH¢8.08 billion
- Pending further justification: GH¢13.27 billion
Government officials say the verification exercise is part of broader efforts to improve financial accountability and ensure that public funds are paid only for legitimate contractual obligations.