Director-General of the State Interest and Governance Authority, SIGA, Prof. Michael Kpessa-Whyte, has reaffirmed the Authority’s commitment to transforming Ghana’s state enterprises through stronger governance, data-driven analysis, and accountability.
“Through rigorous analysis and data-driven insights, we aim to ensure our State-Owned Enterprises and Joint Ventures fulfil their potential as catalysts for economic growth and public service,” Prof. Kpessa-Whyte stated during the release of the 2024 State Ownership Report (SOR).
The report, the ninth in the series and fourth under SIGA, offers an in-depth assessment of the financial performance of 152 Specified Entities (SEs), including 54 State-Owned Enterprises (SOEs), 30 Joint Venture Companies (JVCs), and 68 Other State Entities (OSEs).
While the findings show progress in oversight and revenue generation, SIGA warned of persistent fiscal vulnerabilities that continue to undermine the overall performance of the state enterprise sector.
Rising Revenue, Deepening Losses
The SOE sector posted total revenue of GHS133.68 billion in 2024—a 28.3% increase from GHS104.19 billion in 2023—driven mainly by the energy and financial services sectors. However, despite the strong revenue growth, the sector closed the year with a net loss of GHS9.67 billion, up from GHS7.14 billion the previous year.
According to the report, excessive finance costs amounting to GHS9.39 billion wiped out operational gains, even as profit before interest and tax recovered to GHS1.57 billion.
Mounting Liabilities and Fiscal Pressures
Total SOE assets rose by 22.52% to GHS395.20 billion, but liabilities grew even faster—24.20%—reaching GHS281.94 billion, with the Electricity Company of Ghana (ECG) alone accounting for GHS71 billion.
Five enterprises—Ghana Cylinder Manufacturing, GNPA, Ghana Water Company, Graphic Communications Group, and Tema Oil Refinery—have reported consistent losses over the past five years, posing what SIGA described as “significant fiscal risks.”
In contrast, nine entities, including Ghana Ports and Harbours Authority (GPHA), Bui Power Authority, Ghana Gas Company, and BOST, remained consistently profitable over the same period.
JVCs Bounce Back Strongly
Joint Venture Companies posted a remarkable turnaround, moving from a GHS1.33 billion loss in 2023 to a GHS1.51 billion profit in 2024. Assets grew by 39.86% to GHS71.89 billion, while minority-interest JVCs contributed 91% of total government dividend receipts, amounting to GHS1.03 billion.
Call for Fiscal Discipline
Finance Minister Cassiel Ato Forson described the report as a wake-up call, stressing the need for stronger financial management within SOEs.
“The expectations of the Ghanaian people are that SOEs must deliver and offer value to Ghanaians as their shareholders,” he said.
Despite Ghana’s 5.7% GDP growth and a more stable cedi in 2024, public debt remains high at GHS726.7 billion (61.8% of GDP).
The report concludes with a strong call for structural reforms, fiscal discipline, and enhanced accountability to ensure that state enterprises drive growth rather than strain public finances.
