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Govt releases GH¢20m to settle capitation grant arrears

Source The Ghana Report

The government has released GH¢20 million to pay capitation grants for basic public schools nationwide.

The government introduced the capitation grants scheme to cover the extra costs and levies (such as examinations, facilities management, security charges, games, and sports) that parents usually pay as “school fees” in public schools.

The Minister of Education, Dr Yaw Osei Adutwum, answering questions in Parliament on Monday, December 4, revealed that part of the capitation grant was paid during the first half year, while the Finance Ministry has released the remaining arrears of GH¢20 million and are currently being processed for disbursement.

“Mr Speaker, capitation grant arrears of GH¢15 million were disbursed to schools in May 2023, and the remaining arrears of last year amounting to GH¢20 million have been released by the Ministry of Finance and are currently being processed for disbursement. In addition, GH¢4.2 million of this year’s capitation is also being processed for disbursement,” he said.

Payments of the grants had been in arrears for two years, leading the Minority in Parliament and stakeholders in the education sector to complain about the delays that, in their view, were negatively impacting education at the basic level.

In July this year, the Executive Director of Africa Education Watch (EduWatch), Mr Kofi Asare, entreated the government to increase the capitation grant by 100% for basic schools nationwide in the mid-year budget review.

According to Mr Asare, the increment will help mitigate the challenges associated with access to universal education in the country.

“We expect to hear a 100% increment in the capitation grant from ¢10 to ¢20,” he said. “We also want an assurance from the Finance Minister that the disbursement regime where the grant is disbursed as a token ends and that there is a clear disbursement roadmap to assure stakeholders that the grant will not be in arrears.”

“We also want to hear from the Ministry of Finance about plans to pay the arrears that have accumulated over the years. Some headteachers have taken loans to run schools, and they are owing in their communities. We don’t want to encourage that,” he added.

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