GHS100 million lost annually to payroll fraud – Report
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GHS100 million lost annually to payroll fraud – Report


According to the Government Waste Report, 2022 issued by the Institute for Liberty and Policy Innovation, payroll fraud in Ghana is causing taxpayers millions of Ghanaian Cedis annually, with approximately GHS100 million lost each year. The report highlights the recurring issue of including ghost names on the government payroll, leading to bloating and financial losses.

In 2015, during a staff audit, around 2,913 ghost names were discovered on the Ghana Education Service Payroll alone. To address this problem, the government has conducted nationwide employee audits on its payroll whenever there is a bailout or restructuring agreement with the International Monetary Fund (IMF) since 2011.

The report also addresses the issue of procurement fraud, defining it as deceptive or corrupt practices in acquiring goods, services, or works by public or private entities. Procurement fraud remains a challenge in Ghana, affecting both the public and private sectors, despite measures taken to combat it, such as establishing anti-corruption agencies and enacting legislation to promote transparency.

Common forms of procurement fraud mentioned in the report include collusion, bid rigging, kickbacks and bribery, misrepresentation of qualifications or capacity, and invoice manipulation. These fraudulent activities undermine fair competition, inflate costs, and compromise the integrity of the procurement process.

It is important for Ghana to continue addressing these issues through robust anti-fraud measures, improved transparency, and effective enforcement of laws to protect taxpayers’ funds and ensure fair and efficient procurement practices.

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