Government plans to list State-Owned Enterprises and banks on Ghana Stock Exchanges to boost governance and efficiency— Ato Forson

Finance Minister Dr. Cassiel Ato Forson has announced that the government is actively considering listing selected State-Owned Enterprises (SOEs), including state-owned banks, on the Ghana Stock Exchange (GSE) as part of a broader strategy to enhance corporate governance, operational efficiency, and profitability without resorting to outright privatisation. The revelation, made during an interview on the Citi Breakfast Show on Friday, July 24—just one day after he presented the 2026 Mid-Year Budget Review to Parliament—signals a significant shift in the government’s approach to managing public assets.

A Strategic Shift: Listing, Not Selling

Dr. Forson was emphatic in dispelling fears that the move would lead to a sell-off of state assets. “We are assessing a number of SOEs. It’s not about selling, it’s not about shutting down; it’s about listing some of them on the Stock Exchange to improve governance and ensure profitability,” he stated. The minister stressed that the objective is to increase private sector participation through the capital market while preserving majority or significant state ownership, thereby retaining public control while introducing market discipline.

This approach marks a departure from past divestiture programmes, which often involved outright sales to strategic investors or full privatisation. Instead, the government appears to be embracing a “partial listing” model, where the state retains a controlling stake while offering shares to institutional and retail investors. Such a model has been successfully employed in other jurisdictions to improve SOE performance without ceding national ownership.

Focus on State-Owned Banks

Dr. Forson specifically identified state-owned banks as key candidates for this initiative. He noted that the Agricultural Development Bank (ADB), which is already listed on the GSE, would see its private shareholding deepened through the sale of additional shares to the public. “ADB is already there, but we want to deepen it and offload more of those shares to the private sector—to you, to everybody. Everyone can buy some shares,” he said.

Beyond ADB, the minister indicated that the National Investment Bank (NIB) and potentially other state-owned financial institutions are being evaluated for similar treatment. The move is intended to strengthen their financial positions, improve their lending capacity, and enhance their ability to compete with private banks. By bringing in private shareholders, the government hopes to instil greater accountability, reduce political interference in lending decisions, and attract new capital to bolster the banks’ balance sheets.

Rationale: Governance, Transparency, and Efficiency

The Finance Minister outlined several benefits of the listing initiative. First, listing on the GSE would subject SOEs to rigorous disclosure requirements, quarterly financial reporting, and independent audits—all of which are mandated by the Securities and Exchange Commission (SEC) and the GSE listing rules. This, he argued, would improve transparency and reduce the scope for mismanagement and corruption.

Second, public listing would force SOEs to become more commercially focused, as they would be judged by shareholders on profitability and return on investment. This contrasts with the current model, where many SOEs operate at a loss and rely on government subsidies or bailouts, draining the public purse. Third, the move would deepen Ghana’s capital market by increasing the supply of investable securities, attracting both domestic and foreign investors, and providing Ghanaians with an opportunity to own shares in nationally significant companies.

The Broader SOE Reform Agenda

This announcement is part of a wider reform agenda aimed at revitalising Ghana’s underperforming SOEs, which have long been a drag on the fiscal position. According to the 2025 Public Enterprises Report, many SOEs recorded significant losses, with accumulated arrears exceeding GH¢10 billion. The government has been under pressure from the IMF and development partners to address these inefficiencies as part of its post-programme fiscal consolidation efforts.

Dr. Forson previously indicated that the government would conduct a comprehensive review of all SOEs to categorise them into three groups: those to be retained, those to be restructured, and those to be divested. The listing option appears to sit within the “restructuring” category, offering a middle ground between full state control and full privatisation.

Potential Candidates Beyond Banks

While the minister specifically mentioned state-owned banks, the initiative could extend to other SOEs with viable commercial operations. Possible candidates include the Ghana Ports and Harbours Authority (GPHA), the Tema Oil Refinery (TOR), and the Electricity Company of Ghana (ECG), though these entities present unique challenges, including regulatory monopolies and significant infrastructure investment needs. Analysts suggest that the government may start with smaller, commercially viable SOEs before tackling larger, more complex entities.

Historical Context and Previous Attempts

This is not the first time a Ghanaian government has considered listing SOEs on the GSE. In the early 2000s, the administration of President John Agyekum Kufuor explored partial listings of major state assets but faced political resistance and logistical hurdles. More recently, the previous government considered listing ECG but shelved the idea due to union opposition and concerns over power sector stability. Dr. Forson’s announcement suggests that the current administration is determined to push ahead, perhaps learning from past setbacks and framing the move as a pro-people initiative rather than a sell-off.

Market Reactions and Investor Sentiment

Financial market participants have reacted positively to the news. The GSE saw a slight uptick in trading volumes following the minister’s interview, with analysts speculating that a new wave of IPOs (Initial Public Offerings) could inject fresh energy into the bourse. The GSE has faced declining liquidity and low investor participation in recent years, and the listing of state-owned entities could provide a much-needed catalyst.

“We welcome this development,” said Kwasi Adu, a portfolio manager at a local asset management firm. “SOE listings would give retail investors access to high-quality assets that were previously off-limits. It would also force these institutions to become more disciplined and efficient.”

However, some investors remain cautious, noting that the success of the initiative depends on the valuation of the shares, the quality of corporate governance, and the government’s commitment to maintaining a level playing field for all shareholders.

Political and Union Reactions

The announcement has drawn mixed reactions from political quarters. The opposition Minority in Parliament has expressed scepticism, with some lawmakers questioning whether the government will truly retain majority control or whether the listing will be a backdoor to eventual sale. The Minority Leader, Alexander Afenyo-Markin, called for a detailed white paper on the plan, stating that “Ghanaians deserve to know exactly what