President John Dramani Mahama (L) with former President Nana Addo Dankwa Akufo-Addo
President John Dramani Mahama, in his maiden State of the Nation Address (SONA) of his second term on Thursday, February 27, 2025, outlined the debts inherited from the Nana Addo Dankwa Akufo-Addo government.
Presenting his address on the floor of Parliament, the president revealed that, in addition to the public sector debt, which currently stands at GH¢721 billion, the previous administration left behind significant debts in various state agencies.
He noted that several state institutions, including the Electricity Company of Ghana (ECG) and the Ghana Cocoa Board (COCOBOD), are burdened with billions in outstanding debts.
Below are some of the debts discovered so far by the Mahama administration:
ECG – GH¢68 billion
President Mahama stated that the Akufo-Addo government left behind a total debt of GH¢68 billion at the Electricity Company of Ghana (ECG).
“In addition to the public debt, which amounts to a staggering GH¢721 billion, several State-Owned Enterprises (SOEs) are also heavily indebted, including ECG, which owes GH¢68 billion,” he said.
COCOBOD – GH¢32.5 billion
The president further disclosed that COCOBOD has an outstanding debt of GH¢32.5 billion inherited from the previous administration.
“The Ghana Cocoa Board, the hope of cocoa farmers is also highly indebted. Its balance sheet indicates a total debt of GH¢32.5 billion, of which GH¢9.7 billion is due to be paid by the end of September 2025.”
He explained that in the 2023/2024 crop season, COCOBOD was unable to supply 333,767 tonnes of cocoa, which had already been sold at US$2,600 per tonne.
As a result, the then-management rolled over these contracts into the 2024/2025 cocoa season.
Additionally, he revealed, “Cocoa road commitments alone total GH¢21.7 billion, of which only GH¢4.4 billion is included in the total debt of GH¢32.5 billion. This debt arose primarily due to the decision in 2019 and 2020 to award road contracts worth over US$1 billion ahead of the elections.”
Ministry of Defence – GH¢3.7 billion
President Mahama also revealed that the Akufo-Addo government left behind GH¢3.7 billion in debt at the Ministry of Defence.
“Mr. Speaker, like many other state institutions under the previous administration, the Ministry of Defence is burdened with approximately GH¢3.7 billion in debt, a figure that continues to grow as new undisclosed debts are uncovered.”
BAI/MA
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