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1
STRUCTURE OF DECISION
MAKING
AND
MECHANISMS OF FINANCING
EDUCATION
IN GHANA
THE MINISTRY OF EDUCATION’S
GOAL
The provision of relevant education to all
Ghanaians, at all levels to enable them acquire
skills, that will assist them to develop their
potential, to be productive, to facilitate poverty
reduction and to promote socio-economic growth
and national development.
2
GOALS FOR THE EDUCATION
SECTOR
The Ministry of Education will provide the ff:
Facilities to ensure that all citizens, irrespective of age, gender and tribe, religion and political affiliation, are functionally literate and self-reliant
Basic education for all
Opportunities for open education for all
Education and training for skill development with emphasis on science, technology and creativity
Higher education for the development of middle and top-level manpower requirements.
VALUES
In providing these services, we will be guided
by the following values:
Quality Education
Efficient management of resources
Accountability and transparency
Equity
3
POLICY GOALS
1. Equitable Access to
EducationIncrease access to and
participation in education
and training
Promote and extend pre-
school education
provide girls with equal
opportunities to access the
full cycle of education
POLICY GOALS
2. Quality of
Education
Improve quality of teaching and learning
for enhanced pupil/ student achievement
Promote good health and environmental
sanitation in schools and institutions of
higher learning
Improve the quality of academic and
research programmes
Identify and promote education
programmes that will assist in the
prevention and management of
HIV/AIDS.
4
POLICY GOALS
3. Educational
Management
4. Science,
Technology
and TVET
Strengthen and improve
educational planning and
management
Extend and improve technical
and vocational education and
training
Promote and extend the
provision of science and
technology education and
training
FUNDING POLICY
Funding of education has been done principally by government since independent.Re-enforced by provisions in the 1992 constitution
5
FUNDING POLICY
“Constitutional Provision”
Basic education shall be free, compulsory and available to allSecondary education in its different forms, including technical and vocational education, should be made generally available and accessible to all by every appropriate means, and in particular, by the progressive introduction of free education
FUNDING POLICY
“Constitutional Provision”
Higher education shall be made equally accessible to all on the basis of capacity by every appropriate means, and in particular, by the progressive introduction of free education.
6
FACTORS INFLUENCING THE
FUNDING OF EDUCATION
The Education Reform Program of 1987
The fCUBE Program
The Growth and Poverty Reduction Strategy
The Education Reform Program of 2002 – White Paper
THE EDUCATION REFORM
PROGRAMME (1987)
Main objectives:
To expand and make access more equitable at
all levels of education
To change the structure of the pre-tertiary
education system (from 6-4-7 to 6-3-3)
To improve pedagogic efficiency and
effectiveness
7
THE EDUCATION REFORM
PROGRAMME (1987) (contd.)
To make education more relevant by
increasing the attention paid to problem
solving, environmental concerns, pre-
vocational training, manual dexterity and
general skills training
To contain and partially recover educational
costs and to enhance sector management and
budgeting procedures
THE FCUBE PROGRAMME
Objectives were to improve by 2005,
The quality of teaching and learning
Access to and participation in basic education
Community participation in the delivery of
education
Resource management and allocation
8
Tuition - free
Textbooks - free
Stationery -parents/guardians
Equipment/Tools - free
Meals/
Transportation - parents/guardian
(more resources to be moved to basic education)
THE FCUBE PROGRAMME
THE GPRS II – Update 2005
The programmes include activities geared towards:Increasing access to and participation in education and trainingBridging gender gap in access to education Improving quality and efficiency in delivery of education servicePromote and extend the provision of science, maths, tech and ICT education and training
9
GOVT WHITE PAPER ON REFORMS
A portfolio of reforms to be implemented from 2007
Key objectives:Ensure that all children are given the foundation of high quality free education
Second cycle education is more inclusive and demand driven and market responsive to meet the needs of the Ghanaian economy
GOVT WHITE PAPER ON REFORMS
Key issues:
Basic education to be expanded to include 2yrs KG, 6 yrs primary, 3 yrs JHS. Entire basic education to be free.
Second Cycle to last for 4yrs and serve as terminal point of entry to the world of work.
10
GOVT WHITE PAPER ON REFORMS
Second cycle to comprise of apprenticeship programme, including work-based and academic training
SHS will consist of general, vocational, technical and agricultural education
GOVT WHITE PAPER ON REFORMS
Some of the proposed activities to include:
Expansion of pre-school access to all basic schools
Capitation grant to all public basic schools
Basic level students to benefit from school feeding
Targeted programmes to improve access in underserved areas
11
GOVT WHITE PAPER ON REFORMS
Access courses in training colleges
Textbook and ICT development policies
Widespread computer education, especially at training colleges
Expansion of research and library facilities in tertiary institutions
Strengthening linkages between the universities and industry
FUNDING SOURCES
Central GovernmentDiscretionary Budget
GETFund
HIPC
Social Impact Mitigation Levy
Development Partners
Internally Generated Funds
District Assemblies Common Fund
Other sources – PTA, Old Students, churches, others
12
CENTRAL GOVERNMENT
FUNDS
Annual Budget Support to cover:
Personal Emolument
Admin Expenses
Service Activity Expenses
Investment Activity Expenses
GET Fund support, mainly in the area of
Investment Activity Expenses
CENTRAL GOVERNMENT
FUNDS
HIPC Fund support mainly in the area of
Service and Investment Activity
Expenses
Social Impact Mitigation Levy has been
used mainly to support the payment of
capitation Grant
13
DEVELOPMENT PARTNER FUNDS
Supplementary to that of Government. Major donors are:
IDA
DFID
EC
AfDB
JICA
USAID
INTERNALLY GENERATED FUNDS
Increasingly becoming a major source o funding especially at the Tertiary level
14
OTHER SOURCES
DACF
Scholarships and Educational Foundations
BUDGET CATEGORIES
140 - MOES
141 - GES HQ
142 - REGIONAL AND DISTRICT SERVICES
143 - SCHOOLS OF THE HANDICAPPED
145 - TERTIARY
15
BUDGET ALLOCATIONS
Allocations based on:
the priority areas
Commitments
Agreements with Development partners, etc
EXPENDITURE DISTRIBUTION
SYSTEMS
Education is financed and managed through these managerial offices:
The MOES primarily oversees budget allocation and education policies.
The GES as an agency with coverage at regional and district level, implements the budget and the policies.
NCTE with coverage of the Universities, Polytechnics, etc
16
EXPENDITURE DISTRIBUTION
SYSTEMS
Main channels for distribution of expenditures.
CAGD receives budgets from the MOFEP and distributes payments through the banks directly to teachers and other staff for the payment of personal emoluments (salaries)
GES District offices which receives its budget from headquarters and utilises it through the schools
EXPENDITURE DISTRIBUTION
SYSTEMS
MOES/GES HQ which receives the allocations to procure textbooks and other TLMs ad these are distributed through the District offices to the schools.
MOES/GES/GETFund which pays directly for investment expenditures
17
LEGAL FRAMEWORK
Using the three financial management laws
Financial administration Act
Public Procurement act
Internal Audit Agency Act
DECENTRALIZATION OF
RESOURCES
Fiscal decentralization pursued through:
Budget Preparation/Implementation
Introduction of Readiness Criteria
Introduction of Capitation Grant
18
DECENTRALIZATION OF
RESOURCES
Budget Preparation/Implementation
Use of enrolment, number of schools and level of
deprivation
The MTEF process entails the consolidation
of activities which has been selected by the
cost centres for budget preparation.
Releases are subsequently made to the same
cost centres for implementation of activities
DECENTRALIZATION OF
RESOURCES
Readiness Check
Three sets of districts
Ready
Partially Ready
Non-Ready
19
CAPITATION GRANT
The allocation of resources direct to schools
Ed
ucati
on
dis
cre
tio
nary
bu
dg
et
as a
% o
f to
tal d
iscre
tio
nary
bu
dg
et
(¢m
illio
n)
YE
AR
1999
2000
2001
2002
2003
2004
2005
GD
P2
0,5
80
,00
0
2
7,1
52
,00
0
3
8,0
14
,00
0
4
7,7
64
,00
0
6
5,2
62
,00
0
77
,62
0,0
00
97
,61
9,0
00
Na
tio
na
l D
iscre
tio
na
ry
Bu
dg
et
3,8
38
,82
0
5,3
18
,79
8
6,3
29
,45
6
7,4
55
,80
1
10
,44
2,1
00
1
3,0
05
,37
9
1
8,5
28
,00
0
To
tal E
du
ca
tio
n
Dis
cre
tio
na
ry B
ud
ge
t7
68
,89
0
1
,03
2,9
44
1
,42
0,2
15
1
,80
0,0
28
2
,77
5,8
86
3,4
66
,00
8
4,2
95
,27
8
Actu
al E
du
ca
tio
n
Exp
en
ditu
re1
,02
0,8
77
1
,19
8,7
89
1
,82
1,9
79
2
,65
2,3
06
3
,62
5,7
60
4,3
38
,54
4
-
To
tal E
du
ca
tio
n
Dis
cre
tio
na
ry B
ud
ge
t a
s %
of
GD
P3
.7%
3.8
%3
.7%
3.8
%4
.3%
4.5
%4
.4%
% o
f n
atio
na
l d
iscre
tio
na
ry
bu
dg
et
sp
en
t o
n e
du
ca
tio
n2
0.0
%1
9.4
%2
2.4
%2
4.1
%2
6.6
%2
6.7
%2
3.2
%
Actu
al E
du
ca
tio
n
Exp
en
ditu
re a
s %
of
GD
P4
.96
%4
.42
%4
.79
%5
.55
%5
.56
%5
.59
%-
Actu
al E
du
ca
tio
n
Exp
en
ditu
re a
s %
of
To
tal
Dis
cre
tio
na
ry B
ud
ge
t2
7%
23
%2
9%
36
%3
5%
33
%-
So
urc
e:
Bu
dg
et
Sta
tem
en
t &
Eco
no
mic
Po
licy o
f th
e G
ove
rnm
en
t o
f G
ha
na
19
99
- 2
00
5
SUB-SECTOR
Tota
l%
allo
cation
Tota
l%
allo
cation
Tota
l%
allo
cation
Tota
l%
allo
cation
PR
E-S
CH
OO
L98,1
18
2.0
234,7
20
4.1
252,3
87
3.4
369,7
41
4.2
PR
IMA
RY
1,6
45,9
95
33.8
1,8
33,9
30
31.7
2,1
64,8
73
29.5
2,7
51,3
16
31.3
JS
S912,7
18
18.7
929,1
97
16.0
1,2
98,7
08
17.7
1,3
03,6
15
14.8
SS
S638,2
50
13.1
1,1
51,9
54
19.9
1,5
16,4
45
20.6
1,8
03,7
20
20.5
NF
ED
46,0
51
0.9
65,5
32
1.1
29,4
54
0.4
63,5
35
0.7
SP
ED
37,9
39
0.8
92,8
98
1.6
146,3
59
2.0
108,5
28
1.2
TE
AC
HE
R E
DU
CA
TIO
N166,8
82
3.4
215,0
20
3.7
85,9
64
1.2
100,1
30
1.1
TV
ET
14,9
91
0.3
21,7
45
0.4
290,7
22
4.0
349,8
63
4.0
TE
RT
IAR
Y1,3
09,4
38
26.9
1,2
19,5
37
21.0
1,4
86,2
15
20.2
1,8
23,1
50
20.8
Oth
er
(Managem
ent, S
ubvente
d A
gencie
s)
5,6
55
0.1
29,5
07
0.5
72,9
17
1.0
109,7
71
1.2
TOTAL
4,8
76,0
37
100.0
5,7
94,0
40
100.0
7,3
44,0
44
100.0
8,7
83,3
69
100.0
MIN
IST
RY
OF
ED
UC
AT
ION
AN
D S
PO
RT
SE
XP
EN
DIT
UR
ES
AN
D A
LL
OC
AT
ION
S
AC
TU
AL
EX
PE
ND
ITU
RE
S
2003
2004
2005(j
an
-sep
t)2006
BU
DG
ET
