Over 100 SOEs Comply with Audited Accounts Directive

More than 100 State-Owned Enterprises (SOEs) have complied with President John Dramani Mahama’s directive to submit their audited accounts to the State Interests and Governance Authority (SIGA), a key step toward improving public sector accountability and financial discipline.

The disclosure was made by Professor Michael Kpessa-Whyte, Director-General of SIGA, during a high-level stakeholder meeting in Accra focused on performance contracts and compliance enforcement.

The directive, issued earlier this year by President Mahama during a closed-door session with SOE CEOs and heads of joint ventures, instructed all state entities to submit their audited financial statements to SIGA by mid-May. The goal was to enhance transparency and ensure effective oversight of state assets.

According to Prof. Kpessa-Whyte, SIGA has received submissions from a significant number of state enterprises. “I don’t have the current figure but a large majority of them, perhaps about 140 to 150, did comply. We had submitted a report to the Presidency because, if you recall, the President also stated that SIGA was given until the 14th of May to submit a report on the compliance of the entities. We had submitted that particular report to the Presidency.” he said.

Challenges and Delays

However, the Director-General acknowledged that not all entities met the deadline. Some cited logistical and procedural setbacks, including the lack of constituted boards to approve audited accounts, or delays in receiving final audit reports.

“Some argued that at the time the deadline was approaching, their boards were not in place to even sign what you call audited accounts. Others also argued that their accounts were still with the auditors, and so they were quite confused as to what to do,” he explained.

Performance Contracts and Fiscal Discipline

The meeting also placed strong emphasis on the implementation of performance contracts, which SIGA considers a critical tool for improving the operational efficiency and financial sustainability of SOEs. These contracts are structured around key indicators such as management efficiency, productivity, project implementation, and fiscal health.

Prof. Kpessa-Whyte noted that entities operating without clearly defined goals run the risk of undisciplined spending. “If entities operate without a performance contract, the possibility that they will not have clear goals and the temptation to spend as though there is no tomorrow is very high,” he said.

Strengthening Debt Oversight

The SIGA chief also stressed the importance of aligning debt management strategies with national oversight. He reiterated that SOEs must seek approval from SIGA before undertaking any new borrowing.

“SOEs must submit their requests to borrow to SIGA for overall assessment before they do so,” he emphasized. He added that compliance with the Public Financial Management Act remains non-negotiable, particularly when it comes to annual submissions of audited and management accounts.

Toward Greater Transparency

The Authority believes that these interventions are necessary not only to enhance performance but also to ensure that state-owned companies operate within a disciplined and accountable framework. The ultimate goal, Prof. Kpessa-Whyte reiterated, is to reposition SOEs as drivers of economic growth rather than liabilities to the public purse.

With over 100 SOEs demonstrating compliance, SIGA sees this as a step in the right direction—but insists that full participation is crucial to institutional reform.

As Ghana grapples with fiscal pressures and mounting public debt, the performance of SOEs remains central to economic stability. SIGA’s says its focus under the renewed directive of President Mahama, is hindered on performance, accountability, and results.

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