EXPLAINER: What is Ghana's Value for Money Office?

Ghana has established a new institution called the Value for Money Office (VfMO) to help ensure that the government gets the best possible return from public spending.

The office was created under the Value for Money Office Act, 2026 (Act 1172), which was signed into law by President John Mahama in May 2026.

Why was it created?

The office is expected to help reduce waste in government spending, particularly in major projects and contracts.

This includes concerns about overpriced contracts, cost overruns, poorly executed projects and abandoned projects.

In simple terms, the office will ask: “Is the government getting value for the money it is spending?”

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What will it do?

For major government contracts, the VfMO will assess whether the proposed spending is reasonable before the contract is awarded.

It will also monitor projects during implementation and check whether the government actually received what it paid for.

A Value for Money Certificate will be required for certain major contracts before they can be awarded.

How is it different from the Auditor-General and PPA?

The Auditor-General mainly checks how public funds have been used and identifies financial irregularities.

The Public Procurement Authority (PPA) oversees the procurement process and ensures that public institutions follow procurement rules.

The VfMO focuses more specifically on whether the money being spent is worth the results being delivered.

For example, if the government plans to spend GH¢100 million on a project, the office can examine whether the cost is reasonable and whether the project will deliver enough benefits to justify the spending.

When will it be fully operational?

The government is targeting June 2027 for the office to become fully operational.

President Mahama appointed Dr Abdul-Baasit Aziz-Bamba as Acting Director-General on September 8, 2026.

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The success of the office will depend on whether it can identify waste early and ensure that action is taken before public money is lost.

Simply put, the Value for Money Office is intended to ensure that Ghana does not just spend public money, but gets something worthwhile in return.

DR/MA

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