Accra: The State Interests and Governance Authority (SIGA) has released its 2025 State Ownership Report, showcasing a notable financial and operational recovery across Ghana's state-owned enterprises following years of consistent losses. This 10th edition of the report, the fifth since SIGA's inception in 2019, evaluates 162 out of 175 approved Specified Entities, including State-Owned Enterprises (SOEs), Joint Venture Companies (JVCs), and Other State Entities (OSEs).
According to Ghana Web, total revenue for SOEs surged by 28.12 per cent, reaching GHS 176.43 billion in FY2025, compared to GHS 137.64 billion the previous year. This growth was largely attributed to the agricultural, manufacturing, and infrastructure sub-sectors. Profit Before Interest and Tax was recorded at GHS 25.49 billion, indicating a strong recovery from a GHS 502.00 million loss in FY2023. The sector broke a four-year streak of consolidated net losses, ending FY2025 with a Net Profit after Tax of GHS 19.80 billion, reversing a GHS 2.25 billion net loss from FY2024.
Prof Michael Kpessa-Whyte, Director-General of SIGA, emphasized the report's significance in documenting the performance of Specified Entities during the first year of President Mahama's second administration. He stated that the report offers a comprehensive view of these entities' contributions to the country's broader economic agenda, promoting dialogue on the future potential of SOEs, JVCs, and OSEs in driving economic growth.
The report also highlighted sustained profitability over five years for key entities such as the Ghana Ports and Harbours Authority, Bui Power Authority, and Ghana National Gas Company. A stronger local currency contributed to net foreign exchange earnings of GHS 11.72 billion, a turnaround from a GHS 12.01 billion loss in FY2024.
However, SIGA cautioned about ongoing financial risks concentrated in specific entities. Five SOEs recorded losses annually from FY2021 to FY2025, including the Electricity Company of Ghana and Ghana Cylinder Manufacturing Company Ltd. Additionally, dividend payments to the government fell by 29.36 per cent, with only Ghana Reinsurance Company Ltd and TDC Company Ltd contributing a combined GHS 16.00 million.
Joint Venture Companies recorded a 36.55 per cent increase in net profit to GHS 3.14 billion, with minority-interest JVCs providing the majority of state dividends. Conversely, Other State Entities faced mounting financial pressure, with a net deficit widening to GHS 10.48 billion, mainly due to the Bank of Ghana's negative equity position.
The operational improvements were supported by favorable macroeconomic conditions, including a 6.0 per cent real GDP growth rate and declining interest rates. Nonetheless, the report advised against complacency as the sector moves towards long-term stability.
"The gains of FY2025 must not become a temporary rebound," the report concluded. "They must lay the foundation for a more efficient, competitive, inclusive, and sustainable state-owned sector that delivers value for the Ghanaian taxpayer and contributes meaningfully to national development."