Finance Minister Requests GHS 500 Million Contingency Fund Withdrawal to Address Dry Spell Impact in Eight Regions
Finance Minister, Dr. Mohammed Amin Adam, has formally sought parliamentary approval for the withdrawal of GHS 500 million from the Contingency Fund, as the government scrambles to address the looming threat of food insecurity triggered by a severe dry spell affecting eight regions.
This request follows President Akufo-Addo’s directive to the Finance Ministry to assemble an extensive GHS 8 billion relief package aimed at supporting farmers who have been hit hard by the protracted drought.
In a detailed letter to the Finance Committee, Dr. Adam emphasized that the unforeseen nature of the crisis, deemed a “force majeure,” necessitates emergency funding outside the scope of the 2024 Budget.
“The proposed interventions are unplanned expenditures, and Government cannot fund the GHS 8.36 billion requirement solely through the reallocation of existing budget lines,” the Minister explained.
The Ministry further outlined that the requested GHS 500 million will serve as a critical supplement, alongside funds expected from Development Partners and a realignment of fiscal operations within the existing budget framework.
In response to the escalating crisis, the government has already imposed an immediate ban on the export of key grains, including maize, rice, and soybeans, a move described by the Minister for Food and Agriculture, Bryan Acheampong, as essential to safeguarding domestic food supplies.
The severity of the situation is further underscored by reports that nearly 436,000 farmers have incurred losses estimated at GHS 3.5 billion due to the ongoing dry conditions, amplifying the urgency of the government’s appeal for swift financial intervention.
