President John Dramani Mahama has instructed the Minister of Finance to disburse monies for the outstanding gratuity arrears owing to military personnel from the 1995-1996 cohorts, as the government takes steps to address GH₵1 billion in unpaid retirement payments impacting about 3,000 service members.
The President revealed that the arrears arose following the prior administration’s implementation of Constitutional Instrument 129 in 2020.
The terms of Constitutional Instrument extended the length of service and consequently elevated retirement and gratuity payments for retiring officers, yet did not provide budgetary provisions to actualize the new gratuity levels over the ensuing four years.
In 2020, the then government, before the elections, implemented CI129, which extended the term of service, hence augmenting retirement and gratuity disbursements for departing officials.
President Mahama noted that throughout the four years subsequent to 2020, the erstwhile Akufo-Addo’s government did not provide any financial resources to implement the increased gratuity levels.
He made the announcement on Friday 23rd January while speaking at the West African Soldiers’ Social Activity held at Burma Camp.
This happens to be an annual event of the Ghana Armed Forces that allows the President, in his capacity as Commander-in-Chief, to engage with officers, soldiers, and defense civilian personnel in a relaxed yet significant environment.
After years of agitation, the president finally assured the servicemen of his government’s commitment to providing adequate recompense for service members.
He confessed that the well-being of military personnel is a prime concern for his administration, highlighting governmental support for projects like the planned mutual health fund aimed at enhancing healthcare access and financial security for service members and their families.
In addition to resolving the gratuity arrears crisis, the President declared that the government is undertaking a significant modernization initiative for the Ghana Armed Forces, which includes the establishment of forward operating bases nationwide, with two facilities in the northern region prepared for commissioning and sufficient funding designated to finalize four additional bases by year-end.
He revealed that the government has commissioned a fleet of pickup trucks, buses, and land cruisers to improve the mobility and operational efficiency of the Armed Forces as the first phase of vehicle acquisition. Plans are underway to acquire armored personnel carriers, strategic drones, and sophisticated communication systems.
The President declared the government’s determination to create Ghana’s first advanced cyber and electronic warfare center at the Tamale Air Force Base to oversee border monitoring and possess offensive capabilities in case of national threats.
The Armed Forces will acquire offshore patrol boats for the Ghana Navy, four new Eurocopter helicopters for the Ghana Air Force, and a new executive aircraft for official trips.
President Mahama said that the government has decided to construct two new military units in the Oti and Central regions, in response to evolving security dynamics and the need to enhance the national response structure. The current recruiting initiative, initiated last year, seeks to augment the Ghana Armed Forces by 12,000 people during the next four years.
Accommodation continues to be a difficulty, with an existing shortfall of around 14,000 dwelling units.
The President endorsed the collaboration between the Defense Industrial Holding Company and FT Global, which seeks to provide 10,000 housing units during the next five years, and said that he had authorized the first phase of 2,000 housing units earlier that day.
