Electricity Company of Ghana (ECG) and Agricultural Development Bank (ADB) logos
The Minister of Finance, Dr. Cassiel Ato Forson has sounded the alarm over the severe financial and operational risks faced by state-owned enterprises (SOEs) and joint venture companies, calling for urgent restructuring to avert further economic strain.
Speaking at the National Economic Dialogue on Monday, March 3, 2025 Dr. Forson revealed that almost all SOEs are operating at a loss, citing critical cases such as the Electricity Company of Ghana (ECG) and the Agricultural Development Bank (ADB).
“SOEs and joint venture companies are facing mounting operational and financial risks. Almost all of them are in the red,” he emphasised.
One of the key concerns raised was the financial status of COCOBOD, which reported a GH¢2.2 billion profit in 2023.
However, Dr. Forson clarified that this figure was artificial, as it stemmed from a debt suspension that temporarily relieved COCOBOD from servicing its obligations.
“From 2021 to 2023, COCOBOD reported some profit, but this GH¢2.2 billion in 2023 is not a true reflection of its financial health. The profit resulted from a debt suspension, meaning the underlying debt still exists. Urgent restructuring is needed to address these challenges,” he explained.
The National Economic Dialogue, held at the Accra International Conference Centre, has brought together policymakers, economists, business leaders, and civil society organizations to craft strategies for economic recovery.
The insights gathered are expected to shape key policies, including the forthcoming National Budget, as the government seeks to stabilize the economy and revamp struggling SOEs.
MA