SOEs Expand Assets by 23% in 2024, but Liabilities Continue to Swell

Ghana’s State-Owned Enterprises (SOEs) may be bleeding losses year after year, but on paper, their worth is swelling.

The 2024 State Ownership Report released by the State Interest and Governance Authority (SIGA) reveals that SOEs’ combined assets jumped by 22.52%, from GHS322.5 billion in 2023 to a staggering GHS395.2 billion in 2024.

According to the report, this significant improvement in assets was driven by powerhouses like ECG, VRA, GNPC, COCOBOD, Ghana Gas, NEDCO, and CBG. These SOEs top the list of asset-heavy SOEs.

“The total assets of the SOEs at the aggregate level recorded a 22.52 percent growth to GHS395,204.42 million in FY2024 from FY2023 (GHS322,555.86 million). ECG, VRA, GNPC, COCOBOD, BPA, Ghana Gas, NEDCO, GPHA, CBG, and GRIDCo were the top 10 SOEs by total assets,” parts of the report cited by The High Street Journal noted.  

But unfortunately, alongside this asset growth came an even steeper rise in liabilities.

The report indicated that total liabilities of the SOEs ballooned by 24.2%, climbing from GHS227 billion in 2023 to GHS281.9 billion in 2024.

“The SOEs in FY2024 reported total liability at the aggregate level of GHS281,942.01 million in FY2024 from GHS227,006.63 million in FY2023, representing a surge of 24.20 percent,” the report further revealed.

This situation creates an irony that many Ghanaians can relate. It is similar to owning a house or car that looks impressive on paper, but struggles to buy fuel or pay utility bills.

This means that Ghana’s SOEs are asset-rich but cash-strapped, with mounting liabilities and continued operational inefficiencies threatening to erode public trust.

While SOEs accumulate more assets, their balance sheets reflect a cycle of borrowing, inefficiency, and debt dependency.

Experts say the impact of this ironic situation is glaring. This translates to wealth on paper, which doesn’t translate into productivity, profitability, and improved services. These weaknesses have become the hallmark of SOEs in Ghana.

For now, the real challenge for SIGA and the SOEs is converting these growing assets into engines of growth rather than symbols of underperformance. Otherwise, SOEs risk becoming white elephants, big, costly, and unsustainable.

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