The Ministry of Finance has hinted consultations with key state institutions, including the Attorney General Department to explore legal safeguards that will protect its accounts from frequent court-ordered freezes.
This was disclosed by the Deputy Minister of Finance, Thomas Nyarko Ampem, during the ongoing Public Accounts Committee (PAC) hearing on Monday, August 25, following an update from Afua Brown Pobee, Director of Finance at the Ministry.
Ms. Pobee expressed concern over the recurring impact of judgment debts on the Ministry’s operations, noting that court rulings often result in the freezing of accounts, disrupting financial processes.
“We have been suffering from these judgments being placed on our accounts for a while. We have tried to do something about it and honestly, it is very difficult for the Ministry of Finance as an MDA because you will be there, process things, and you cannot do payment,” she said.
In response to a suggestion by the Chair of the Public Account Committee, Abena Osei Asare, for closer collaboration between the Ministry, the Bank of Ghana, and the Attorney General’s Office, the Deputy Minister supported the call and emphasized the urgency of a legal framework to insulate the Ministry from liabilities it does not directly incur.
“All these cases the Ministry of Finance is not directly involved. Somebody at the Roads Ministry awards a road contract and they are not able to pay, and so the contractor takes judgment debt because of the transaction. It is important that we have a legal framework that will protect the Ministry of Finance from these rampant court actions that are preventing us from operating our account,” he stated.
He further stressed the need for proactive financial planning to curb the growing trend of judgment debts.
“As a government, we need to plan our finances in a way so we reduce the number of courts and judgment debts being slapped on us frequently. It’s a worrying trend, and we are engaging all the relevant stakeholders to see how we can resolve this.”
The Ministry’s call for legal reform comes amid broader efforts to enhance fiscal discipline and protect public resources from unintended liabilities.
