Ghana state owned enterprises profit rebounded sharply in 2025, with the sector recording GH¢19.80 billion in consolidated net profit after tax after four consecutive years of losses, according to the latest State Ownership Report by the State Interests and Governance Authority.
The turnaround was supported by stronger revenues, improved foreign exchange conditions and lower finance costs.
Total revenue generated by state owned enterprises increased 28.12% to GH¢176.43 billion from GH¢137.64 billion in 2024. Agriculture recorded the strongest expansion at 203.71%, followed by manufacturing at 114.74% and infrastructure at 92.24%.
Profit before interest and tax consequently climbed to GH¢25.49 billion.
The improvement is striking against the recent history of the portfolio. The sector recorded a GH¢502 million loss in 2023 and recovered to profit before interest and tax of GH¢5.80 billion in 2024. Net profit after tax in 2024 was still negative at GH¢2.25 billion.
By 2025, that had changed.
Stronger Cedi Helps Reverse Foreign Exchange Losses
Foreign exchange movements played a substantial role in the recovery.
State owned enterprises recorded net foreign exchange earnings of GH¢11.72 billion in 2025, reversing a GH¢12.01 billion foreign exchange loss in the previous year.
Finance costs also declined by 42.49%.
SIGA said the performance reflected the culmination of a four year recovery in the state enterprise sector, with some institutions maintaining profitability throughout the five years reviewed.
Ghana Ports and Harbours Authority, Bui Power Authority, Ghana National Gas Company, BOST Energies Company, Minerals Income Investment Fund and TDC Company Limited were among 10 enterprises that remained profitable throughout the period.
The report covered 162 of Ghana’s 175 approved Specified Entities, comprising 53 state owned enterprises, 36 joint venture companies and 73 other state entities.
ECG Liabilities Keep Fiscal Risks Alive
The better headline numbers do not mean the problems have disappeared.
Total SOE assets declined 5.86% to GH¢407.84 billion, while liabilities fell 4.31% to GH¢281.99 billion.
The Electricity Company of Ghana alone accounted for GH¢82.31 billion of those liabilities, exposing the scale of financial risk concentrated in a handful of large public institutions.
Five enterprises recorded losses in every year between 2021 and 2025. They were ECG, Ghana Cylinder Manufacturing Company Limited, GNPA Limited, Graphic Communications Group Company and Ghana Digital Centre.
Six entities, including AirtelTigo Ghana Limited, GIHOC Distilleries and Tema Oil Refinery, also remained in negative equity throughout the period.
That leaves government with a difficult split screen: aggregate profitability is improving, but persistent weaknesses remain embedded in several strategically important entities.
Dividends to Government Remain Thin
Another concern is how little of the improved performance translated directly into dividend payments to the state.
Only Ghana Reinsurance Company Limited and TDC Company Limited paid dividends to government in 2025, contributing a combined GH¢16 million. That was 29.36% lower than the previous year.
Joint venture companies delivered a much stronger return.
Their net profit excluding minority interests increased 36.55% to GH¢3.14 billion, while total assets rose to GH¢96.69 billion.
Minority interest joint ventures generated GH¢61.32 billion in net earnings, up from GH¢21.06 billion in 2024, and contributed GH¢1.19 billion in dividends. That represented 97.12% of all dividends received across the state portfolio.
The contrast raises an uncomfortable question over whether some minority government investments are currently producing stronger direct cash returns than wholly owned enterprises.
Other State Entities Record Wider Deficit
Pressure was more pronounced among Other State Entities.
Their combined deficit widened from GH¢2.18 billion to GH¢10.48 billion. Liabilities rose to GH¢323.17 billion, while the accumulated fund deteriorated from a positive GH¢15.47 billion to negative GH¢41.14 billion.
SIGA attributed much of the deterioration to the Bank of Ghana’s negative equity position of GH¢93 billion.
Fiscal exposures also remain. Outstanding government loan guarantees stood at GH¢3.03 billion, on lent loans at GH¢14.73 billion, while US$3.70 million in contingent liabilities crystallised from public private partnership arrangements.
SIGA Director General Prof Michael Kpessa Whyte said the report provides a benchmark for judging the performance of state entities during the first year of President John Mahama’s second administration.
“This edition is significant because it documents the performance of Specified Entities for the first year of President Mahama’s second administration,” he said.
“The gains of FY2025 must not become a temporary rebound.
“They must become the foundation for a more efficient, competitive, inclusive and sustainable State owned sector that creates value for the Ghanaian taxpayer.” - SIGA Director General
The recovery is substantial. SIGA’s warning, however, is that one profitable year cannot be mistaken for structural reform.
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