President John Dramani Mahama has expressed shock at the financial decline of GIHOC Distilleries Company Limited, a state-owned alcohol producer, which reported consecutive losses despite Ghana’s robust demand for alcoholic beverages.
Speaking at the 2025 May Day celebrations at Independence Square in Accra on May 1, Mahama criticized the company’s performance, demanding answers for its GH₵50 million deficit over two years.
“How can you sell alcohol and be in debt?” Mahama asked, highlighting the paradox of a liquor manufacturer struggling in a market where consumption remains consistently high.
“When I was president, GIHOC was profitable. Ghanaians drink alcohol whether they are happy or sad-how does such a company now record losses?”.
The President’s remarks followed revelations by Finance Minister Dr. Cassiel Ato Forson during a March 13 meeting with heads of State Interest and Governance Authority (SIGA)-affiliated entities.
Dr. Forson disclosed that GIHOC posted losses of GH₵25.1 million in 2022 and GH₵25.5 million in 2023, calling the trend “alarming” given alcohol’s market resilience.
GIHOC’s struggles mirror systemic challenges across Ghana’s state-owned enterprises (SOEs).
The Electricity Company of Ghana (ECG) reported staggering losses of GH₵1.46 billion (2021), GH₵8 billion (2022), and GH₵5.96 billion (2023), while the Ghana Cocoa Board (COCOBOD) recorded deficits of GH₵2.4 billion (2021) and GH₵3.8 billion (2022).
Even the once-profitable Ghana Ports and Harbours Authority (GPHA) has slipped into the red.
Mahama urged SOE employees to expose mismanagement, stating, “Protect the enterprises you work at. When things go wrong, speak up.” He warned that non-performing entities risk privatization or shutdown under a reset governance framework.
By: Kwadwo Owusu
