IMF expresses worry over continued build-up of SOEs liabilities; ECG accounts for GH¢71bn of liabilities
The Fund also mentioned that SOEs’ leverage profile is particularly at risk because much of the debt is denominated in foreign-currency or carries implicit government backing.
The International Monetary Fund (IMF) has raised concerns over the growing liabilities of Ghana's State-Owned Enterprises (SOEs), which now constitute 25% of the country's GDP. The IMF's Technical Assistance Report on Ghana highlights that while SOE assets have remained relatively stable around 34% of GDP, liabilities have surged from GH¢35 billion in 2015 to GH¢282 billion in 2024.
ECG alone accounts for GH¢71 billion of these liabilities, making it the largest contributor to the sector's debt burden and a significant fiscal risk for the government. The IMF also notes that the high proportion of foreign-currency denominated debt and implicit government backing increases the SOEs' vulnerability to fiscal and external shocks.
Brief written by urgent.news from MyJoyOnline Ghana's own syndicated text. Machine-written — may contain errors; check the original before relying on it.
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