Audio By Carbonatix
Ghana’s state-owned sector recorded a significant financial turnaround in 2025, with State-Owned Enterprises (SOEs) returning to consolidated profitability after years of losses, according to the 2025 State Ownership Report (SOR) released by the State Interests and Governance Authority (SIGA).
The report, the tenth edition of Ghana’s flagship assessment of its Specified Entities and the fifth issued by SIGA since its establishment in 2019, covers 162 of the 175 approved Specified Entities. These comprise 53 SOEs, 36 Joint Venture Companies (JVCs) and 73 Other State Entities (OSEs).
SIGA Director-General Prof. Michael Kpessa-Whyte described the latest report as significant because it captures the performance of state entities during the first year of President John Mahama’s second administration and assesses their contribution to the Government’s broader economic reset agenda.
The strongest performance came from the SOE sector, whose revenue increased by 28.12 per cent, from GH¢137.64 billion in 2024 to GH¢176.43 billion in 2025. Agriculture, manufacturing and infrastructure recorded particularly strong growth.
Profit before interest and tax rose to GH¢25.49 billion, while consolidated net profit after tax reached GH¢19.80 billion, compared with a net loss of GH¢2.25 billion in 2024.
The improved performance was also supported by a stronger cedi. SOEs recorded GH¢11.72 billion in net foreign exchange earnings, reversing a GH¢12.01 billion loss the previous year, while finance costs fell by 42.49 per cent.
However, SIGA cautioned that serious weaknesses remain. Five SOEs, including the Electricity Company of Ghana (ECG) and Ghana Digital Centre, recorded losses in every year from 2021 to 2025, while six entities maintained negative equity throughout the period.
Government dividend receipts also fell, with only Ghana Reinsurance Company and TDC Company paying a combined GH¢16 million.
Joint Venture Companies continued their positive trajectory, recording a 36.55 per cent increase in net profit to GH¢3.14 billion. Their total assets also rose by nearly 26 per cent to GH¢96.69 billion.
Minority-interest JVCs were particularly significant, generating GH¢61.32 billion in net profit and contributing 97.12 per cent of all dividends received by government, amounting to GH¢1.19 billion.
The performance of Other State Entities was considerably weaker. Their combined net deficit widened from GH¢2.18 billion in 2024 to GH¢10.48 billion in 2025.
Although their assets increased by 60.15 per cent to GH¢310.62 billion, liabilities rose by 41.83 per cent to GH¢323.17 billion. The Bank of Ghana's negative equity position of GH¢93 billion was identified as a major factor behind the deterioration.
The report also points to a more favourable economic environment in 2025. Real GDP growth accelerated to 6 per cent, while the Monetary Policy Rate fell from 27 per cent to 18 per cent. The average lending rate also declined to 20.4 per cent by December.
Public debt stood at GH¢640.99 billion but declined as a proportion of GDP to 45.28 per cent. SIGA nevertheless highlighted continuing fiscal risks, including loan guarantees, on-lent loans and contingent liabilities.
Government also introduced reforms in public financial management, while procurement infractions fell sharply from GH¢18.4 billion to GH¢2.2 billion. SIGA assessed 70 entities under its governance and institutional performance framework and expanded performance-contract arrangements.
Other major developments included implementation of elements of the 24-hour economy policy, the GH¢62.86 billion Big Push infrastructure programme, recapitalisation of state-owned banks, establishment of the Ghana Gold Board and reforms within the railway sector.
The report further noted progress in climate and gender-related commitments. Climate initiatives were reported by 42 entities, while employment across the state sector rose by 5.45 per cent to 98,724 workers. Women's representation increased to 30.02 per cent.
SIGA described 2025 as a potential turning point but warned that improved results must translate into lasting efficiency and value creation.
The Authority, called for stronger accountability, better capital allocation and decisive action against chronically underperforming entities to ensure that state-owned institutions deliver sustainable value for the Ghanaian taxpayer and contribute more effectively to national development.
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