State-Owned Enterprises in Crisis: ECG, ADB Among Struggling Government Entities – Dr. Ato Forson

According to Dr. Forson, mismanagement, inefficiencies, and poor financial oversight have contributed to the dire situation of these institutions. He warned that without urgent intervention, these SOEs could collapse, further worsening Ghana’s economic situation.

ECG’s Financial Woes

The Electricity Company of Ghana, which plays a critical role in the country’s power distribution, is reportedly grappling with mounting debt and operational inefficiencies. Analysts have pointed to issues such as high power losses, poor revenue collection, and government debt as major contributors to the crisis.

ADB’s Economic Challenges

Similarly, the Agricultural Development Bank is said to be struggling due to a combination of high non-performing loans, liquidity constraints, and governance concerns. Dr. Forson emphasized that ADB’s inability to efficiently support the agricultural sector could have far-reaching implications for Ghana’s food security and economic stability.

Urgent Call for Reforms

The Minority Leader has called on the government to implement immediate reforms to revive these entities. He urged policymakers to prioritize transparency, efficiency, and sustainable financial management to prevent further deterioration of critical state institutions.

With these revelations, concerns are growing over the broader financial health of Ghana’s state-owned enterprises and their impact on national economic stability. The government is yet to respond to these claims, but the issue is expected to dominate discussions in the coming weeks.