Date: October 1, 2025
Dear Honourable Dr. Cassiel Ato Forson,
We write regarding your directive mandating that no government contract shall receive approval without prior commencement authorisation from the Ministry of Finance. The commitment to fiscal discipline and accountability is commendable, and we fully support the intent to prevent financial recklessness.
However, the current process creates significant delays for critical projects. Waiting for commencement certificates can push back schedules, increase costs, and alter project scope. By the time approval arrives, market conditions may have changed, causing stalled projects and inefficiencies that reduce the policy’s effectiveness.
To strengthen fiscal control while maintaining efficiency, we propose a structured delegation of authority:
- Bulk Pre-Approved Thresholds: Sector Ministers should have authority to approve and issue commencement certificates for projects within a pre-approved aggregate sum. Projects above this threshold should continue to require Finance Ministry approval.
- High-Level Discretion: Delegated authority must rely on prudence, integrity, and professionalism to ensure projects remain on budget and on schedule.
- Automated Oversight: A digital system should track approvals, fund use, and risk mitigation. Automation ensures transparency while reducing the administrative burden on the Finance Ministry.
- Internally Generated Funds: Ministers and agency heads, with board oversight, should issue commencement certificates for projects funded through IGF. Finance should receive notice of fund availability, potential payment delays, and mitigation plans to avoid over-indebtedness.
This framework balances fiscal discipline with operational efficiency. It empowers sectors to deliver projects on time while maintaining Finance Ministry oversight and ensuring public funds produce maximum impact.
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Yours sincerely,
Projectiza
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