Only 0.20% of allocated petroleum funds were disbursed for industrialization – Report

The government of Ghana disbursed only 0.20% of the allocated petroleum funds meant for industrialization purposes.

According to a 2022 PIAC annual report, among the four priority areas, industrialization was the least area to receive its allocated petroleum funds.

These priority areas are agriculture, road, other critical infrastructure, physical infrastructure and service delivery in education and health, and industrialization.

The Industrialisation Priority Area received an amount representing 0.20 percent of the total ABFA (GH¢4.41 billion).

“The disbursement which represents 4.29 percent of the amount budgeted (GH¢216.3 million) for the priority area for 2022 does not reflect giving priority to Industrialisation in the use of ABFA,” PIAC noted in its report.

Meanwhile, an amount of GH¢643.61 million (US$73.68 million) was transferred to GIIF in 2022.

According to the Fund, the entire disbursement was used to support the Agenda 111 Project of the Government.

This is the second year after 2021 that GIIF has received funds for the Agenda 111 Project. In 2021 an amount of GH¢290.38 million (US$49.39 million) was allocated to the Fund.

PIAC also recommended that having rightly selected Industrialisation as a Priority Area, the government should show more commitment by investing more in industrial development.

SSD/MA