The Ministry of Food and Agriculture (MoFA) has warned the Ministry of Finance that Ghana’s withdrawal from the West Africa Food System Resilience Programme (FSRP) risks leaving GH¢643.87 million in contracts unsettled. The plea came in a letter from Agriculture Minister Eric Opoku to Finance Minister Ken Ofori-Atta, following a September 23 request by the Finance Ministry to the World Bank to pull Ghana out of the programme.
MoFA said the decision was made without consulting the agriculture ministry. The letter urged “urgent reconsideration of the decision,” noting the financial and contractual consequences that could follow.
Of the GH¢643.87 million already tied up in commitments, GH¢520.26 million comes from the International Development Association (IDA), with GH¢123.61 million linked to the FS2030 Trust Fund. These funds support ongoing agricultural infrastructure projects under the FSRP.
The ministry cautioned that exiting the programme without an alternative source of financing could force the government to cover the outstanding amounts. This could delay projects, increase costs, and lead to contractual claims.
The FSRP is designed to strengthen food-system resilience, improve agricultural productivity, and support regional food security. Ghana’s decision to withdraw raises questions about the future of these projects.
MoFA’s letter highlights the risks of abandoning financial commitments midstream, particularly on projects that affect the country’s food system. The ministry’s call to review the decision reflects concern over the potential fallout from the Finance Ministry’s move.
The dispute exposes a rift between two government ministries over a major international programme. The Finance Ministry’s rationale for withdrawing Ghana from the FSRP has not been publicly explained.
Without an alternative plan to finance the GH¢643.87 million in contracts, the government could face significant challenges. The projects already underway could stall, and the government might be liable for penalties or extra costs resulting from broken contracts.
This situation comes as Ghana balances international aid with domestic budget pressures. The FSRP, funded through the World Bank and related trust funds, supports efforts to improve agriculture and food security in West Africa.
The outcome of the disagreement between MoFA and the Finance Ministry will affect not only the financial commitments but also the progress of programmes aimed at securing Ghana’s food system against shocks.
As it stands, MoFA is pushing for a reversal of the withdrawal to protect the investments made so far. The Finance Ministry’s next steps will determine whether those funds and projects remain intact or face disruption.
According to Joy Online.
