Finance Minister Demands GH₵500m from Contingency Fund to Address Food Security Scare

The Finance Minister, Dr Mohammed Amin Adam, has formally requested the release of GH₵500 million from the Contingency Fund to address the growing threat of food insecurity caused by the drought spell currently being experienced in the Northern part of Ghana.

This request comes days after the government announced that it had allocated a GH₵8 billion relief package aimed at supporting farmers struggling with the drought’s devastating effects.

Dr Amin Adam in a letter to Parliament’s Finance Committee indicated that “considering that we are eight (8) months into the implementation of the 2024 Budget and the proposed interventions are unplanned expenditure occasioned by a “force majeure”, Government cannot fund the request of GH¢8.36 billion solely from a reallocation of existing budget lines in the 2024 Budget.”

“In light of the foregoing, we write to request approval from the Finance Committee for the withdrawal of GH¢500 million from the Contingency Fund, in accordance with Article 177 subsection 1 of the 1992 Constitution, Section 36 subsection 1 of the Public Financial Management Act, 2016 (Act 921) as well as Section 227 subsection 1 of the Standing Orders of Parliament of Ghana.”

The government is also mobilising support from Development Partners as well as realigning approved fiscal operations in the 2024 Budget.

In response to the severe drought affecting Ghana’s Northern regions, the government has already announced a ban on the export of grains with immediate effect.

Northern Ghana is currently grappling with a severe drought that has sparked widespread concerns about food security and the livelihood of thousands of farmers.

The region has been without rain for over two months, with the extended dry spell stunting crop growth and leaving farmers with little hope for a successful harvest.