Restore DACF allocation to 7.5% of total national revenue - Prof. Ahwoi

Professor Kwamena Ahwoi, a politician and academic, has advocated for restoring the District Assemblies Common Fund (DACF) to 7.5 per cent of total national revenue.

He pointed out that the amendment capping the DACF had hindered fiscal decentralization at the local level, underscoring the necessity of reversing the trend to allow the Fund to exceed 10 percent of national revenue in the future.

Dr. Ahwoi raised this concern during an inaugural lecture organized by the Chamber for Local Governance (ChaLoG) in Accra, where he presented his 15-point proposal on decentralization, titled “Professor Kwamena Ahwoi’s Back to the Future Fifteen-Point Programme of Action for the Future of Democratic Decentralization for Development in Ghana.”

He emphasised the need to expand revenue sources for Metropolitan, Municipal, and District Assemblies (MMDAs) by creating “Revenue Improvement Action Plans” at the local level.

The lecture was on the theme: “Decentralisation, Local Governance and Local Development in Ghana: The Past, Present and The Future.”

While advocating for increased allocations, Prof Ahwoi recounted the history of decentralisation under various regimes and called for consensus on subjects such as the election of MMDCEs.

“Making the MMDAs, Urban, Zonal and Town and Area Councils (UZTACs) and Unit partisan is another conversation that we must have…

“At the heart of that conversation must be the issue of how to prevent extreme polarization and partisanship that characterise our national level politics from affecting our local level politics,” he stated.

Prof. Ahwoi, a former Minister of Local Government and Decentralisation, also proposed a “constitutional definition” of decentralisation, highlighting that the two main political parties, the New Patriotic Party (NPP) and National Democratic Congress (NDC), often interpreted the concept differently.

He noted that the establishment of 45 new districts between 2018 and 2021 had complicated the management and administrative structures of MMDAs, making them “dysfunctional.”

To address this, he recommended that previous suggestions from a 2015-2016 study sponsored by the International Development Association (IDA) on reviewing these structures should be “updated and implemented.”

Prof. Ahwoi, who was honored with a Lifetime Achievement Award by ChaLog at the event, said there was need for a “National Stakeholder Conference on Decentralisation” in the future, regardless of which political party won the 2024 general elections.

He said such a conference would foster discussions and proposals that would establish the “desired” decentralisation and local government system for the country.

“We should have a local government system that is in charge of local affairs and that calls the shots locally; a local government system that is a local government for the people, by the local people, and for the local people,” he stated.

Dr. Richard Fiadomor, President of ChaLoG, commended Prof. Ahwoi for his significant contributions to decentralisation in Ghana, noting that the lecture was designed to be an annual event aimed at fostering “constructive dialogue” about decentralisation and local governance while providing recommendations for policymakers.

Dr. Alfred Oko Vanderpuje, MP for Ablekuma South and chair of the occasion, emphasised the need for “a sense of responsibility” regarding the country’s decentralisation efforts, stating that Prof. Ahwoi deserved recognition both in Ghana and internationally for his enduring impact.

Dr. Francis Alhassan Adom, a UN Sustainable Development Goal (SDG) Policy Expert, highlighted the importance of preserving Prof. Ahwoi’s legacy for future generations, sharing his excitement about meeting the elder statesman after years of studying his work.

Emeila Arthur, former District Chief Executive for Shamaa and the 2024 NDC Parliamentary Candidate for the area, discussed various initiatives from her tenure and the positive influence of Prof. Ahwoi’s guidance.