Ghana’s State-Owned Enterprises (SOEs) collectively reported a net profit of GHS19.8 billion in 2025. This marks a substantial financial turnaround from an aggregate net loss of GHS2.26 billion recorded in 2024. President John Dramani Mahama announced these figures, commending the SOEs for their improved performance.
The President, however, cautioned SOE managements to ensure these gains are sustainable. He highlighted that GHS11.72 billion of the profit came from net foreign exchange gains. Additionally, a 42.5 percent reduction in aggregate finance costs significantly boosted the results. President Mahama stressed that these factors, while positive, do not reflect fundamental operational improvements across all entities.
This financial rebound for SOEs comes at a critical time for Ghana’s economy. The government has been working to stabilize public finances and reduce reliance on external borrowing. Improved SOE performance can contribute to state revenue through dividends and reduce the burden of state-funded bailouts. This trend aligns with broader efforts to enhance public sector efficiency and accountability.
President Mahama, speaking at the 2026 State Interests and Governance Authority (SIGA) Governing Boards and CEOs’ Conference, emphasized the need for vigilance. He stated, “These are all encouraging figures, but they must be understood in context.” He urged SOE leaders to strengthen their institutions’ underlying performance. This approach would prevent over-reliance on temporary economic conditions or currency fluctuations.
The implications of this performance are significant for Ghana’s fiscal health. Sustained profitability from SOEs could free up government resources for essential public services. It could also improve Ghana’s credit ratings and attract more foreign direct investment. Decision-makers will closely watch whether SOEs can maintain this positive trajectory through genuine operational reforms.
Aggregate revenue generated by SOEs also increased significantly, reaching GHS176.43 billion in 2025. This represents a 28.12 percent growth from GHS137.71 billion in 2024. Return on assets improved from 1.3 percent to 6.31 percent. Return on equity, a key measure of profitability, rose from a negative 1.6 percent to a positive 15.7 percent.
President Mahama specifically praised 10 SOEs for consistent profitability between 2021 and 2025. The Ghana National Petroleum Corporation (GNPC) led with an average annual profit of GHS2.25 billion. The Ghana Ports and Harbours Authority (GPHA) followed with GHS1.41 billion. The Minerals Income Investment Fund (MIIF) recorded GHS773.9 million in average annual profit.
Other consistently profitable entities included BOST Energies, Volta River Authority, and Ghana Exim Bank. The Ghana National Gas Company, TDC Company Limited, Ghana Supply Company Limited, and the Venture Capital Trust Fund also showed strong, consistent performance. Their five-year consistency sets a benchmark for other state-owned entities.
Several SOEs achieved remarkable turnarounds in 2025. Tema Oil Refinery (TOR) moved from a GHS745 million net loss to a GHS1.09 billion net profit. This marked TOR’s first net profit in nearly a decade. Ghana Water Company Limited shifted from a GHS3.06 billion loss to a GHS6.35 million profit. Ghana Cocoa Board (COCOBOD) also improved, moving from a GHS5.73 billion loss to a GHS5.11 billion profit.
Despite these successes, President Mahama acknowledged persistent weaknesses within the SOE portfolio. Five SOEs recorded losses every year from 2021 to 2025. Other state entities collectively posted an aggregate deficit of GHS10.48 billion in 2025. This deficit increased from GHS2.40 billion in 2024, indicating uneven performance across the sector.
The President noted that the average aggregate liabilities of these struggling entities exceeded their net assets. This highlights an urgent need for comprehensive reforms. He directed that the next State Ownership Report must show measurable improvements. These improvements should cover audited accounts, operational efficiency, profitability, and dividend payments. Enhanced service quality and corporate governance are also key targets.
President Mahama reminded SOE boards and chief executives of their public trust. He emphasized that SOE assets belong to the people of Ghana. He stated, “Public ownership must produce public value.” He stressed that SOEs exist for national development, public interest, or to address market gaps, not merely to sustain institutions.
For commercial SOEs, the obligation is to remain efficient, competitive, and financially sustainable. They must also generate an appropriate return on investment for the state. This directive signals a renewed focus on accountability and performance across Ghana’s state-owned sector.