State-Owned Enterprises post GH¢8.54 billion losses in 2024 - SIGA

The State Interests and Governance Authority (SIGA) Wednesday painted a gloomy picture of the performance of State-Owned Enterprises (SOEs), which recorded substantial financial losses in 2024.

A report presented on the sector during President John Dramani Maham’s meeting with chief executive officers of SOEs at the Kempinski Hotel in Accra, detailed key financial indicators revealing a challenging situation for the enterprises.

A major concern is the profit after tax, which showed a significant loss of GH¢8.54 billion.

This follows a loss of GH¢1.36 billion in profit before interest and tax, Mr Eric Bonsu Agyabeng, the Manager of Transport and Logistics, SIGA, who presented the report, said.

Further revelation indicated negative performance in key metrics, notably the Return on Assets and Return on Equity.

He said the Return on Assets (ROA) was reported as -2.5 per cent, and Return on Equity (ROE) as -8.1 per cent.

While SOEs possess a substantial asset base of GH¢338.15 billion and contributing 23 per cent to Ghana's nominal Gross Domestic Product (GDP), they are struggling with profitability.

Total revenue reached was GH¢103.79 billion, but total operating expenses exceeded GH¢105.54 billion, resulting in a cost recovery ratio of 0.99.

This indicates that operational costs are slightly exceeding revenue.

The report also provided data on gender representation within SOEs, revealing that 76.03 per cent of employees being males, while 23.97 per cent are females.

Total liabilities amounted to GH¢232.69 billion.

-GNA