State-Owned Enterprises lose GH¢2.61 billion in 2020 – Report

Finance Minister Ken Ofori Atta Ken Ofori-Atta, Finance Minister

Tue, 5 Apr 2022 Source: www.ghanaweb.com

SOEs’ combined revenue increase by 19.30% in 2020

Non-current assets account for 65.81% of total assets

Transport and agriculture account for 80% of the growth

A 2020 State ownership report has shown that state-owned enterprises made a total loss of GH¢2.61 billion in 2020.

According to the report, SOEs’ combined revenue increased by 19.30%, from GH¢37.912 billion in 2019 to GH¢45.23 billion in 2020.

Even though this represents almost a 50% upgrade over 2019’s loss of GH¢5.16 billion, Finance Minister, Ken Ofori-Atta wants an urgent and collective effort to be adopted to address these losses.

All other sectors except communications and transportation, recorded improved revenue in 2020 relative to 2019.

Direct costs incurred by SOEs collectively in 2020 amounted to GH¢32.9 billion, a 12.65% increase from GH¢29.213 billion in 2019.

The main contributors were the energy and agriculture sector accounting for over 80% of aggregate direct costs of SOEs in FY2020.

Total assets of the SOEs portfolio however stood at GH¢171.632 billion, whilst aggregate liabilities recorded was GH¢119.5 billion in 2020.

In comparison to 2019, the asset base grew by 15.12% with liabilities rising at a higher pace of 22.47%.

Non-current assets accounted for approximately 65.81% of total assets.

Total liabilities amounted to 57.37% which were accounted for by short-term liabilities. Aggregate equity of the SOE portfolio went up marginally by 1.18% from GH¢51.47 billion in 2019 to GH¢52.085 billion in 2020.

Source: www.ghanaweb.com
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