The Ghana Cocoa Board (COCOBOD) has come under scrutiny over weaknesses in the procurement and management of projects under its cocoa roads investment programme, according to an International Monetary Fund (IMF) Technical Assistance Report.
The report cited an audit which found that 87% of contracts under COCOBOD’s cocoa roads investment portfolio were directly awarded without competitive tendering.
The IMF also identified weaknesses in project costing and contract management, which it said contributed to additional financial pressures.
The findings form part of broader concerns raised by the Fund about financial oversight and governance within Ghana’s state-owned enterprises (SOEs).
IMF calls for stronger controls
The IMF said stronger governance and financial controls were needed across SOEs to reduce the fiscal risks their operations pose to government.
Among its recommendations are improved board appointment processes, stronger coordination between the Ministry of Finance and the State Interests and Governance Authority (SIGA), and closer monitoring of investments undertaken by SOEs.
The Fund said addressing these weaknesses would help improve accountability and reduce financial risks associated with state-owned enterprises.
