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Procurement practising bill before cabinet

The government has announced new measures aimed at sanitising the country’s procurement system, which continues to drain billions of cedis annually through irregularities.

Deputy Minister for Finance, Thomas Nyarko Ampem, said Cabinet is currently considering the Procurement Practising Bill, a legislation designed to professionalise the procurement function and introduce stronger safeguards against malpractices.

Speaking at the National Procurement and Supply Conference in Accra, the Deputy Minister cited a report by the Ghana Institute of Procurement and Supply (GIPS), which estimates that Ghana loses about GHS2.36 billion every year to procurement breaches.

“Why are we spending more on inefficiencies and infractions than on the most vulnerable in our society? Procurement inefficiencies rob us of opportunities to create jobs and expand access to critical services,” Mr Nyarko Ampem stressed.

According to him, common lapses such as unauthorised procurements, inconsistent evaluations, poor supervision and specifications deliberately skewed to favour particular suppliers have become widespread, eroding public trust and undermining development.

To address the problem, he explained that government has already amended the Public Procurement Act to ensure that commencement certificates and budgetary allocations become mandatory prerequisites for all central government-funded procurements.

Additionally, the Ministry of Finance has established a Public Financial Management (PFM) Compliance Division to monitor adherence through the Ghana Electronic Procurement System (GHANEPS).

Mr Nyarko Ampem noted that the pending Procurement Practising Bill will elevate the role of procurement, embed sustainability and anti-corruption checks, and align national systems with international best practices.

“This legislation is expected to raise standards and give procurement the strategic importance it deserves,” he said.

Mr Nyarko Ampem further emphasised that the reforms fall under President John Mahama’s economic reset agenda and tie into the 24-Hour Economy Programme, which seeks to boost local production, promote green procurement and expand job creation.

Calling on procurement professionals to uphold ethics and embrace technology, the Deputy Minister underscored the importance of local content.

“Every insistence on local content builds industries that can compete across Africa and beyond,” he added.

The conference was held under the theme “Transforming Public Procurement for Sustainable Development: Policies, Practices and Pathways.”

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