SIGA proposes liquidation of Ghana Railway Company and absorption of staff into GRDA

The State Interests and Governance Authority (SIGA) has suggested a significant overhaul of Ghana’s railway system, which entails the dissolution of the Ghana Railway Company Limited (GRCL) and the integration of its workforce into the Ghana Railway Development Authority (GRDA). This proposal is outlined in SIGA’s 2025 State Ownership Report, which identifies persistent financial, operational, and labor issues at GRCL.

The Authority asserts that these challenges have led to the suspension of GRCL’s activities, despite continual government initiatives to enhance and rejuvenate the nation’s railway network. The restructuring would transform GRDA into a dual-purpose entity, managing the growth and commercial activities of the railway sector. According to SIGA, the new framework could alleviate longstanding institutional weaknesses and enhance the effectiveness of Ghana’s railway system.

The report indicates that the Tema-Mpakadan railway line, a 97-kilometre route, began commercial operations under GRDA in October 2025. The government has also launched a phased assistance package, addressing salary arrears and necessary infrastructure upgrades within the railway sector. SIGA emphasized the need for prompt action to manage underperforming state-owned entities, emphasizing that such steps are essential to transition the railway sector from recovery to sustainable value generation.