President John Dramani Mahama has issued a stern warning to State-Owned Enterprises (SOEs), declaring that the government will no longer absorb persistent financial losses incurred by these institutions, urging their boards and management teams to prioritise efficiency, accountability, and profitability.
Speaking at the State Interests and Governance Authority (SIGA) Governing Boards and CEOs Conference at the La Palm Royal Beach Hotel in Accra on Thursday, September 10, 2026, the President stated that his administration has fundamentally reset its relationship with SOEs and will demand greater value from institutions entrusted with managing public assets .
A New Era of Accountability
“Persistent losses will no longer be quietly absorbed into the national budget,” President Mahama declared, emphasising that the continued dependence of SOEs on government support places an unnecessary burden on the national purse .
The President noted that while some SOEs recorded profits in 2025, sustained performance remains the critical test of the government’s reform efforts. “One-year turnaround is encouraging but sustained performance is the real test. Progress by a number of entities cannot mask the persistent weaknesses across the general portfolio,” he said .
SOE Sector Records Major Turnaround
President Mahama’s remarks come on the back of SIGA’s 2025 State Ownership Report, which revealed that Ghana’s SOE sector recorded a significant financial turnaround, posting a consolidated net profit after tax of GH¢19.80 billion in 2025, ending four consecutive years of losses .
According to the report, total revenue across the SOE sector increased by 28.12% to GH¢176.43 billion, up from GH¢137.64 billion in 2024. The growth was driven largely by the agricultural, manufacturing, and infrastructure subsectors, which recorded revenue increases of 203.71%, 114.74%, and 92.24%, respectively .
Profit Before Interest and Tax (PBIT) rose to GH¢25.49 billion in 2025, while finance costs fell by 42.49%. The appreciation of the cedi further strengthened the sector’s financial position, resulting in net foreign-exchange earnings of GH¢11.72 billion, compared with a GH¢12.01 billion foreign-exchange loss in 2024 .
Persistent Challenges Remain
Despite the overall improvement, President Mahama cautioned that significant weaknesses persist within the state enterprise portfolio. He disclosed that five SOEs recorded losses in every year between 2021 and 2025, describing the trend as a concern requiring urgent attention .
The affected entities include the Electricity Company of Ghana (ECG), Ghana Cylinder Manufacturing Company Limited, GNPA Limited, Graphic Communications Group Company, and Ghana Digital Centres Limited. Additionally, six other entities, including AirtelTigo Ghana Limited, GIHOC Distilleries, and Tema Oil Refinery, recorded negative equity throughout the five-year period .
Dividend payments from SOEs to government also declined by 29.36% in 2025, with only Ghana Reinsurance Company Limited and TDC Company Limited paying dividends, contributing a combined GH¢16 million .
Assets Held in Trust for Ghanaians
President Mahama reminded boards, chief executives, and management of SOEs that the assets under their control ultimately belong to the people of Ghana. He pointed to the country’s ports, power infrastructure, factories, water systems, pension funds, lands, buildings, equipment, and government-owned shares as some of the assets being held in trust on behalf of Ghanaians .
“These assets do not belong to any government, a board, or a chief executive. They belong to the people of Ghana, and you and I hold them only in trust for the people,” he said .
The President emphasised that the central principle guiding the conference was that public ownership must produce public value. He challenged every institution represented at the gathering to demonstrate, with credible evidence, the value it had created for the Ghanaian people .
Leadership Tied to Performance
President Mahama reiterated that leadership positions in state-owned enterprises must be linked to measurable performance, value creation, and profitability. He recalled that during his engagement with chief executives in March 2025, he made it clear that the government was resetting its relationship with SOEs .
“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 and that leadership should be tied to measurable value and profit,” he stated .
The President also stressed that state enterprises were not established merely to maintain offices and pay salaries. “The state did not establish enterprises merely to maintain offices, pay salaries and sustain institutions indefinitely. The state did so because certain activities are strategic for national development, and are essential to public interest and necessary to address gaps the market alone cannot resolve,” he explained .
SIGA’s Role in Reform
The State Interests and Governance Authority was established by the State Interests and Governance Authority Act, 2019 (Act 990) to oversee and administer state interests in SOEs, joint venture companies, and other state entities . The Authority replaced the State Enterprises Commission and the Divestiture Implementation Committee .
SIGA Director-General Professor Michael Kpessa-Whyte attributed the improved performance of SOEs to a more supportive macroeconomic environment, enhanced corporate governance training, and strong leadership demonstrated by President Mahama in tying the continuous stay in office of CEOs to their performance .
“For my team at SIGA and me, it is heart-warming that our efforts in the past year are yielding results, although it is early days yet. We are of the belief that with stronger support for SIGA, a collective desire to protect public funds, we can make our SOEs more profitable,” he said .
Looking Ahead
President Mahama urged boards to provide strategic oversight and management to ensure innovation, prudent financial management, and alignment with national development priorities. He warned that entities failing to justify their continued existence through measurable impact would be subjected to review .
The President also commended progress in building transparent, accountable, and nationally beneficial structures around Ghana’s gold trade. However, he cautioned that the gains recorded in 2025 must be sustained through stronger core operations and cannot depend indefinitely on a better business environment and exchange rate movements .
