Managing of Financial Resources for the Development of Local Government: the Case of Amansie West District Assembly

Thumbnail Image
Journal Title
Journal ISSN
Volume Title
The role of sound financial management practices in the development process of local government has been a subject of many writers. This among others is due to the fact that no meaningful development can take place if financial resources are not managed well. Beside, local government authorities have to justify their financial empowerment and use it as a tool to achieve their goals and objectives. The study delved into how Amansie » West District Assembly manages its financial resources to promote development. The study revealed that the district assembly recorded a consistent increase in revenue generation in real terms for the period under review. However, an analysis of the individual revenue items indicated that of the eleven major revenue items, only three contributed 82% to total local revenue. This implies that in a period where the three revenue items perform badly, the assembly's revenue base will reduce drastically and it will affect the smooth implementation of development projects and programme. It was recommended that the assembly should designed effective strategies to ensure that the other eight revenue sources also perform better and also identity new sources of revenue if it is to be efficient. An analysis of the revenue -expenditure relationship revealed that the assembly recorded a deficit in the study period. It was observed that the district performed better in the areas of capital expenditure. It continually allocated enough funds for the purpose of development. Financial management practices are largely adhered to. The issue of embezzlement and financial mismanagement centres more on revenue collectors. Generally, the level of development of the district is reflected in its programmes and budget estimates. 
A thesis submitted to the College of Art and Social Sciences, KNUST School of Business, 2008