President John Dramani Mahama has issued a significant warning to governing boards and management of State-Owned Enterprises (SOEs) – urging them to resist the temptation to utilize public funds for personal enrichment, emphasizing instead a commitment to the Ghanaian taxpayer’s interests. He stated, during a 2026 Governing Boards and CEOs Conference organized by the State Interests and Governance Authority (SIGA), that ‘Profitable enterprises must also meet their dividend obligations to the state, stressing that returns on public investments ultimately belong to the people of Ghana.’
Mr. Mahama explained that while dividends contributed to the national budget, retained earnings must be backed by credible investment plans capable of strengthening the enterprises and creating long-term value. He stressed that the recent improvement in the financial performance of SOEs was encouraging but warned that the gains must translate into sustained operational efficiency. The President underscored that SOEs moved from an aggregate net loss of GH¢2.26 billion in 2024 to a net profit of GH¢19.8 billion in 2025, alongside a significant increase in their combined revenue – from GH¢137.71 billion in 2024 to GH¢176.43 billion in 2025. Their combined revenue also increased from GH¢137.71 billion in 2024 to GH¢176.43 billion in 2025.
He noted that approximately GH¢11.72 billion in net foreign exchange gains and a 42.5 per cent decline in aggregate finance costs contributed to the improvement. ‘Our task is therefore to convert this favourable financial relief into sustained operational efficiency and stronger underlying performance.’ He stressed that a single year of improved results would not be enough to establish lasting success. ‘A one-year turnaround is encouraging, but sustained performance is the real test.’
Mr. Mahama also cautioned against the prioritization of board approvals over performance metrics, emphasizing that a key question for boards and executives should be: ‘What additional value did our entity create this year?’ He stated that the answer must be reflected in profits, jobs, infrastructure, service delivery, national capability, or improved experiences for Ghanaian citizens. He reiterated that a board is not a ceremonial position. ‘A board is not a ceremonial position. A membership is not an entitlement.’
He also warned that excessive board interference in routine operations weakened accountability. He also cautioned chief executives against resisting legitimate board oversight. ‘Political affiliation, personal relationships or proximity to the centre of power cannot substitute for competence, integrity, diligence, and performance.’
The President cited several SOEs which recorded improvements in 2025, including Tema Oil Refinery moving from a net loss of approximately GH¢745 million to a net profit of GH¢1.09 billion, while the Ghana Water Company Limited moved from a loss of GH¢3.06 billion to a profit of approximately GH¢635 million. BOST increased its net profit from approximately GH¢398 million to GH¢684 million, while GoldBod recorded a net profit of approximately GH¢896.5 million, compared with GH¢178.5 million in 2024.
Despite the improvements, Mr. Mahama said weaknesses remained within the SOE sector. He noted that five SOEs recorded losses in every year between 2021 and 2025, while other state entities recorded an aggregate deficit of approximately GH¢10.48 billion in 2025. He therefore directed boards to scrutinise major expenditures carefully and determine whether they were necessary, economical, and aligned with their institutional mandates. ‘Any board or chief executive who persistently places an entity beyond lawful oversight demonstrates an unwillingness to account for public assets,’ he said. He urged the leadership of SOEs to return to their institutions and ask, what value are we creating for the people of Ghana who own the assets that have been entrusted to our care? He said state assets belonged to the Ghanaian people and boards and management were merely custodians. ‘These assets do not belong to any government, a board or a chief executive. They belong to the people. And you and I hold them only in trust for the people.’ He therefore directed boards to scrutinise major expenditures carefully and determine whether they were necessary, economical, and aligned with their institutional mandates. “Any board or chief executive who persistently places an entity beyond lawful oversight demonstrates an unwillingness to account for public assets,” he said. Mr. Mahama said state assets belonged to the Ghanaian people and boards and management were merely custodians. “These assets do not belong to any government, a board or a chief executive. They belong to the people. And you and I hold them only in trust for the people,” he said. “That is the central proposition of this conference. Public ownership must produce public value.” He urged the leadership of SOEs to return to their institutions and demonstrate measurable value from the assets entrusted to their care. “Board chairpersons, board members, and chief executives, return to your institutions and ask, what value are we creating for the people of Ghana who own the assets that have been entrusted to our care?” he said.”
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Source: Graphic Online
