Priority area governance Decentralisation and improving public finances
Germany has been successfully supporting Ghana’s efforts in this regard for many years through cooperation projects and programmes. Important areas of activity are decentralisation and municipal development, promoting civil society and improving the performance of administrative bodies. Germany has supported, among other things, the introduction at the district level and further development of an incentives-based funding system for municipal investments.
The Ghanaian government is also receiving support for its efforts to adapt its tax, financial and budget systems in line with good governance principles. This includes boosting tax revenues, modernising the tax system, improving budget preparation and strengthening national accountability to parliament and to the court of auditors. Furthermore, Germany is supporting the transparent use of revenues from the extractive sector (EITI process). These activities are making an important contribution to combating corruption.