President John Dramani Mahama has cautioned heads of State-Owned Enterprises (SOEs) to live up to his reset agenda or be asked to step aside.
He says the days of mediocrity and financial mismanagement in SOEs must come to an end.
The President has warned that SOEs that would be making losses would either be merged, privatised or closed down.
At a meeting with CEOs of specified entities under the State Interest and Governance Authority (SIGA) Thursday, March 13, 2025, the President noted it was time for a complete overhaul of public entities to drive home the needed transformation.
“I will assess you based on your performance. If you do not align with the pace of the reset agenda, you may be asked to step aside. If that adds to the horror movie, so be it,” he stated, warning that “the era of impunity, mediocrity, and financial recklessness must end today.”
The President’s comments come on the back of recent concerns raised by the Finance Minister, Dr. Cassiel Ato Baah Forson, that many SOEs are making losses and struggling to make profit.
The President also noted that the meeting was meant to conscientise the CEOs to have a renewed mindset towards transitioning from losses to breaking even and then to profits.
“This meeting reaffirms my commitment to shaking up loss-making SOEs and realigning them to break even and transition into profitability. My 2024 campaign promises and the 120-day social contract with the people of Ghana were not mere rhetoric,” he noted.
The President cited the 2023 State Ownership Report produced by SIGA, which highlighted inefficiencies plaguing SOEs, calling for the need for action.
Instead of prioritising the state’s interest, President Mahama noted that many employees are using the enterprises as avenues for accumulating personal wealth which is weighing down the companies.
“Many SOEs have been used as mere instruments for personal wealth accumulation by appointees. The chief executives, management, and boards of these enterprises are responsible for this situation. Some SOEs have become perennial loss-makers, draining public funds with bloated budgets, unjustified allowances, and unnecessary expenditures while relying on government bailouts as if entitled to them. Many of these entities are at their lowest point in the entire history of the Fourth Republic,” he added.
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