President Mahama Bans Sole-Source Contracts, Plans Parliament Approval for Sale of State Assets
President John Dramani Mahama has announced a ban on sole-source contracts as part of government efforts to tighten procurement processes and enhance transparency.
Delivering the State of the Nation Address before Parliament of Ghana on February 27, 2025, the President explained that the move forms part of broader measures aimed at improving accountability in public spending.
“This House, to tighten our procurement processes, [we are] banning sole-source contracts, except in exceptional circumstances,” he stated.
The President also revealed plans to introduce legislation that would make it mandatory to obtain parliamentary approval before any government asset or property is leased or sold. The proposed law would cover state lands and state-owned enterprises.
“We will also bring legislation to this House to make it mandatory to seek Parliament’s prior approval before any government asset or property is leased out or sold. This includes lands and state enterprises,” he added.
President Mahama further noted that adjustments to cocoa producer pricing were necessary to improve liquidity within the sector while reducing the country’s reliance on borrowing, a move he said would help prevent the accumulation of debt for future administrations.
“In the last week, we have had to take the painful but necessary decision to revise the producer price of cocoa to achieve competitive pricing and resolve the acute liquidity challenges in the sector. Failure to do this, as others did, and left a debt of 32 billion for this government to pay, would have meant borrowing billions in borrowed funds. This unplanned expenditure would have taken us right back to the very devastating economic problem we have only recently begun to escape.” He added
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