President John Dramani Mahama has issued a stern warning to members of his administration and governing boards of State-Owned Enterprises (SOEs), declaring that his government will not tolerate conflict of interest, abuse of office, or the improper management of state resources.
Addressing the SIGA Governing Boards and CEOs Conference 2026 in Accra on Thursday, September 10, the President said public officials entrusted with managing state institutions must uphold the highest standards of integrity, transparency and accountability.
“Ladies and gentlemen, this administration will not tolerate conflict of interest or abuse of office,” President Mahama said. “Procurement must be lawful and follow the guidelines; it must be competitive and transparent.”
The President outlined specific expectations for governance across the SOE sector. Recruitment and promotions must be based on merit, and contracts, investments and asset disposal must withstand scrutiny and demonstrate value for money.
“Boards must take personal responsibility for land, buildings, equipment and investments in their custody,” he said. “Unauthorised disposal, encroachment or dissipation of state assets is not a minor administrative lapse. It is a breach of trust against the people of Ghana.”
A reset in government-SOE relations
The conference, held at the Labadi Beach Hotel under the theme “Creating Public Value through Leadership, Corporate Governance and Performance Excellence,” brought together governing board members and chief executives of specified entities under the oversight of the State Interests and Governance Authority (SIGA) .
President Mahama recalled his March 2025 meeting with chief executives, where he announced a reset in the relationship between government and state enterprises, linking leadership positions to measurable results, value creation and profitability.
“I said that persistent losses could no longer be quietly absorbed into the national budget and that SIGA must become an effective ownership and performance institution,” he said .
The President stressed that public ownership must produce public value, and every institution must demonstrate with credible evidence the value it creates for the Ghanaian people.
Mixed financial performance
The President’s warnings came against the backdrop of a significant financial turnaround in the SOE sector. Combined revenue increased from GH¢137.71 billion in 2024 to GH¢176.43 billion in 2025, while the sector moved from an aggregate net loss of GH¢2.26 billion to a net profit of GH¢19.8 billion .
Return on assets improved from 1.3% to 6.31%, and return on equity shifted from negative 1.6% to 15.7% .
However, President Mahama cautioned that approximately GH¢11.72 billion in net foreign exchange gains and a 42.5 percent decline in aggregate finance costs contributed significantly to the improvement — factors that do not necessarily reflect stronger underlying operations.
“A one-year turnaround is encouraging, but sustained performance is the real test,” he said .
Board governance and accountability
The President emphasised that boards are responsible for strategic direction, policy, risk oversight, the integrity of financial reporting and institutional performance. He called for a clear distinction between the responsibilities of boards and management.
“Boards govern and management manages,” he said, warning that excessive board interference in routine operations weakens accountability, just as chief executives resisting legitimate board oversight undermines governance .
He also addressed the issue of remuneration, stating that compensation, particularly for executives, must be linked to institutional performance.
“It is not fair to your shareholders to have salaries and allowances systematically increased even in chronically loss-making enterprises,” he said.
President Mahama warned that boards and management teams would be assessed against clearly defined financial, operational, governance and development targets, and that persistent underperformance would trigger corrective action, including leadership changes .
Ten binding commitments signed
At the close of the conference, board chairpersons and chief executives publicly signed ten binding commitments on finance and governance. These include progressively reducing reliance on subventions and sovereign-backed borrowing, exploring alternative financing instruments such as public-private partnerships and infrastructure bonds, and maintaining a clear boundary between board strategic oversight and CEO executive authority .
The commitments also require entities to treat compliance with SIGA’s statutory oversight requirements as a core governance obligation, uphold the highest standards of ethical leadership, and invest in institutional capacity and succession planning.
Professor Michael Kpessa-Whyte, Director-General of SIGA, described the commitments as a decisive shift in how specified entities are financed and governed. “Our Boards and Chief Executives have moved beyond words to binding undertakings that will be tracked, measured and enforced,” he said .
Recognition and concern
The President commended ten SOEs that recorded positive net profits every year from 2021 to 2025, including the Ghana National Petroleum Corporation, Ghana Ports and Harbours Authority, and the Minerals Income Investment Fund.
He also noted dramatic turnarounds at several entities in 2025. Tema Oil Refinery moved from a net loss of approximately GH¢745 million to a net profit of GH¢1.09 billion — its first profit in almost a decade. The Ghana Water Company Limited shifted from a loss of GH¢3.06 billion to a profit of approximately GH¢635 million, while COCOBOD improved from a loss of GH¢5.73 billion to a profit of GH¢5.11 billion .
However, the President disclosed that five SOEs recorded losses in every year between 2021 and 2025, describing the trend as a concern requiring urgent attention .
SIGA’s evolving mandate
SIGA, established in 2019 by Act 990, is the centralised oversight body responsible for ensuring state-owned entities operate efficiently, effectively and profitably within the framework of government policy . The Authority negotiates and enforces performance contracts, conducts performance evaluations, and monitors compliance with statutory requirements .
Under President Mahama’s administration, SIGA has been directed to evolve from a passive observer into an empowered enforcer of national interest, with authority to conduct in-depth financial assessments, issue binding directives, and intervene directly in underperforming entities .
The President also directed SIGA to establish a mandatory reporting framework requiring government representatives on joint venture boards to submit written reports on financial performance, major decisions and emerging risks, and to publish clear performance assessments .
“The resources entrusted to state institutions must work as hard for Ghana as our nurses, teachers, farmers and entrepreneurs work every day for this nation,” President Mahama said .
