Ghana’s state-owned enterprises are facing significant financial losses, with alarming figures presented by Finance Minister Dr. Cassiel Ato Baah Forson. Key institutions like ECG and the Ghana Cocoa Board reported severe deficits from 2021 to 2023, necessitating immediate action to address these economic challenges.
The Finance Minister of Ghana, Dr. Cassiel Ato Baah Forson, has expressed concern over the escalating losses experienced by various State-Owned Enterprises (SOEs) in recent years. During a meeting with the CEOs of these enterprises, he disclosed troubling financial data from 2021 to 2023, highlighting the ongoing challenges faced by these national institutions.
Dr. Forson specifically mentioned the Electricity Company of Ghana (ECG), which has suffered consecutive losses over three years. The ECG reported a staggering GHS1.46 billion loss in 2021, which increased to GHS8 billion in 2022 before a slight decrease to GHS5.96 billion in 2023. This trend underscores the severe financial difficulties in the power sector.
Further, the Ghana Grid Company (GRIDCo) recorded losses of GHS93.5 million in 2022 and GHS8.6 million in 2023. Notably, GIHOC Distilleries, an enterprise operating in a potentially profitable sector, reported losses of GHS25.1 million in 2022 and GHS25.5 million in 2023.
The Graphic Communication Group, a significant media organization, has also faced financial strain, with losses increasing from GHS3 million in 2021 to GHS15.1 million in 2023. Additionally, the Ghana Cocoa Board, the largest agricultural institution in the country, posted a GHS2.4 billion loss in 2021 followed by an even larger deficit of GHS3.8 billion in 2022.
Dr. Forson remarked that the accumulated losses represent a serious concern regarding the financial stability of state-owned enterprises. He stressed the necessity of addressing these issues to ensure the sustainability and growth of these critical entities, which play a significant role in Ghana’s economy.
In summary, Ghana’s State-Owned Enterprises are currently grappling with substantial financial losses that could threaten their sustainability. Key institutions, including the Electricity Company of Ghana and the Ghana Cocoa Board, exhibit particularly alarming deficit figures, prompting the need for urgent remedial measures to safeguard their viability and contributions to the national economy.
Original Source: www.gbcghanaonline.com
