President John Dramani Mahama has directed the Ministry of Finance to fund the Tamale water expansion project from domestic resources. This follows the withdrawal of a €277 million facility by the European Union. The President announced the directive while cutting the sod for the project's construction in Tamale.
The Tamale Water Supply Expansion Project is a critical infrastructure initiative aimed at addressing water scarcity in Ghana's Northern Regional capital. The project's scope includes the construction of new water treatment facilities and the expansion of distribution networks to serve a growing population.
The European Union's decision to withdraw its financial support for the project was confirmed in late 2025. While the EU has not publicly detailed all reasons for the withdrawal, statements from EU officials have referenced concerns over fiscal governance and the need for alignment with broader economic reform programs.
President Mahama's directive underscores the government's commitment to completing the project despite the loss of international funding. The Ministry of Finance is now tasked with identifying and allocating the necessary domestic budgetary resources to ensure the project's continuation and timely completion.
