Former President John Dramani Mahama has revealed that Ghana’s State-Owned Enterprises (SOEs) accumulated approximately GH¢282 billion in liabilities by December 2025. This significant debt burden exists despite these entities holding aggregate assets valued at GH¢407.85 billion.
The former President expressed deep concern over the financial state of these public entities. He noted that many SOEs recorded deficits, highlighting an urgent need for financial restructuring. This situation poses a substantial risk to Ghana’s overall fiscal stability and economic outlook.
This disclosure comes amidst persistent worries about the performance of SOEs in Ghana. These entities often rely on government support, impacting public finances and diverting resources from other critical sectors. The International Monetary Fund (IMF) has previously flagged financial irregularities and poor governance within SOEs as major economic risks for the nation. Their underperformance can strain the national budget and hinder economic growth.
Speaking at the SIGA Governing Boards and CEOs Conference 2026, President Mahama stated, “At the end of 2025, state-owned enterprises held aggregate assets of GH¢407.85 billion and liabilities of approximately GH¢282 billion.” He further detailed that majority venture companies held assets of GH¢96.69 billion against liabilities of GH¢82.7 billion. Other state entities, however, showed a more alarming imbalance, with assets of GH¢341.6 billion but significantly higher liabilities of GH¢382.75 billion. This disparity indicates that a segment of SOEs is deeply insolvent, requiring immediate intervention.
The substantial liabilities of SOEs could lead to increased government borrowing or contingent liabilities. This situation could further exacerbate Ghana’s public debt, which is already a major concern for investors and international financial institutions. Decision-makers will likely face pressure to implement stricter oversight and reforms to prevent these liabilities from becoming a direct burden on taxpayers. The financial markets will closely monitor any government plans to address these systemic issues, as they impact the country’s creditworthiness and investment attractiveness. Effective management of SOEs is crucial for Ghana’s long-term economic health and fiscal sustainability.
The former President’s remarks underscore a critical challenge for Ghana’s economic management. The government must address the underlying causes of these liabilities, including operational inefficiencies and governance weaknesses. Without decisive action, the financial health of SOEs will continue to pose a significant threat to national development. This situation demands a comprehensive strategy involving financial restructuring, improved corporate governance, and enhanced accountability. Such measures are essential to transform these entities into profitable and self-sustaining ventures. The public and private sectors alike will be watching for concrete steps to mitigate these financial risks. The long-term implications for Ghana's economy hinge on effective reform implementation. The sustainability of public services and infrastructure development also depends on robust SOE performance. Therefore, the issue extends beyond mere financial figures to the core of national progress. This financial landscape requires careful navigation to ensure Ghana's economic resilience.