SOEs dividend contributions fall 45.5% in 2025- Report
Dividend payments by State-Owned Enterprises (SOEs) to the Government declined by 45.5 per cent in 2025, raising concerns about the profitability and cash-generating capacity of a significant portion of the state-owned portfolio.
In 2025, dividend payments by State-Owned Enterprises (SOEs) to the Government saw a significant decline of 45.5%, according to a recent report. The total dividend payments from selected SOEs dropped to GHS16.0 million in the fiscal year 2025, compared to GHS29.36 million in the previous fiscal year. This represents only 0.92% of the GHS1.746 billion in total dividends received by the Government from institutional groups, indicating the limited contribution of SOEs to overall dividend inflows.
Only two SOEs, Ghana Reinsurance Company Limited (Ghana Re) and Tema Development Company (TDC) Limited, paid dividends during the review period. Ghana Re contributed GHS13.0 million, while TDC contributed GHS3.0 million, both figures showing a decrease from the previous year. Despite some operational improvements among state enterprises, the report highlighted the need for stronger profitability across the SOE sector, attributing the decline partly to balance-sheet weaknesses and negative equity positions in several companies, including AirtelTigo Ghana Limited, Ghana Water Limited, GNPA Limited, and Tema Oil Refinery.
The State Interests and Governance Authority (SIGA) was called upon to strengthen efficiency, corporate governance, and financial sustainability in the SOE sector, emphasizing the importance of increasing dividend payments to enhance returns for the Government.
Written by urgent.news from MyJoyOnline Ghana's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
