The former Chief Executive Officer of CalBank, Frank Adu Jnr, has issued a stark warning about the economic toll of procurement fraud in Ghana, describing it as one of the most destructive forces undermining national progress.
In an interview on JoyNews’ ‘PM Express’, Mr Adu recounted a troubling example from his time in banking, where a client secured a $3 million loan for a government contract, only for the final government payment to balloon to a staggering $25 million due to what was described as a “variation.”
“This country has, as far as I am concerned, two problems: the political system and corruption,” he said.
Mr Adu refrained from naming the government involved in the incident but stressed that the issue cuts across political lines. “It wasn’t an isolated incident. And it continues up to today. Procurement fraud is critical, it’s killing this country.”
The veteran banker, known for his outspoken views on governance, warned that no economic policy, no matter how well-crafted, could survive the weight of such abuse.
“It doesn’t matter how good your finance minister is, doesn’t matter how good the president is. There is no way you can justify an eightfold increase in contract payments,” he said.
His comments come amid renewed national discussions on corruption and governance as the country looks ahead to upcoming elections. Mr Adu suggested that President John Mahama could restore public trust if he chooses to take a tough stand on corruption, including holding his own appointees accountable.
“Until President Mahama decides that, look, I’m going to make sure that these things don’t happen, we’re going to have this problem going on,” he said.
Beyond financial malpractice, Mr Adu lamented the erosion of meritocracy in public appointments. “The more noise you make while in a position, the higher your chance of becoming a CEO, ambassador, or minister. That is not meritocracy.”
He cited poor performance across several state-owned enterprises and regulatory bodies as symptomatic of a wider culture of political reward over competence.
“If you are not held to account for your deeds as a minister or as a political appointee, it means you can underperform. And that happened under Akufo-Addo,” he said.
Mr Adu’s remarks have sparked fresh debate among political analysts and civil society groups, many of whom are calling for urgent institutional reforms to strengthen transparency and accountability in Ghana’s public procurement system.
