Auditor General’s Report on public accounts has flagged a significant problem with the government’s poor recovery of loan receivables.
The report reveals that an alarming GH¢61 billion is still unpaid, which constitutes 99.93% of the total loan receivables for the fiscal year ending December 31, 2023.
It emphasizes the need for effective cash management, including well-defined timelines and strong collection strategies when loans or advances are issued to covered entities.
The review, however, uncovered a major deficiency in this regard. Of the GH¢63,384,527,594 in outstanding loan receivables, only GH¢43,450,428.00, or just 0.07%, was collected during the review period.


The low recovery rate has been linked to the lack of a debt collection strategy and insufficient follow-up by the Controller and Accountant-General (CAG) to ensure repayment from the covered entities.
Kwasi Adjei, the Controller and Accountant General, stated that a committee has been formed to manage the debt recovery process. He provided this information during his appearance before the Public Accounts Committee of Parliament.
The report also highlights that these loans have been recorded in government accounts for extended periods without a clear recovery plan or policy.
The Auditor General cautioned that if the government fails to actively pursue these debts, there is a risk that they may ultimately be written off, which would result in a loss of crucial resources needed for national programs.
The report urges immediate action to create and implement a thorough debt recovery strategy to tackle this pressing issue.




















































