The Director-General of the State Interests and Governance Authority (SIGA), Prof. Michael Kpessa-Whyte, has cautioned State-Owned Enterprises (SOEs) against paying bonuses while recording losses, describing the practice as a clear breach of financial directives.
Speaking on the sidelines of the 2026 SIGA Stakeholders’ Conference in Accra, he stressed that all financial activities of SOEs are closely monitored, making it difficult for such practices to go unnoticed.
“We expect that all financial transactions are recorded in the accounting practices of the state-owned enterprises… we know where all monies go by way of expenditure. We know their revenue lines, we know their expenditure lines. You can’t make losses and pay bonuses”.
Michael Kpessa-Whyte said it is unacceptable for institutions that fail to make profits to reward themselves with bonuses.
“If at the end of the year… you are unable to declare profits, and we see a line that shows that you have paid bonuses to yourselves…then it means that you have flouted a directive.”
He described the situation as illogical and inconsistent with basic business principles.
“You are doing business. You are not making any profits—in fact, you are making losses—and then you are paying yourself bonuses. Nobody would do that in a private business.”
According to him, bonuses should strictly reflect performance and not be treated as an entitlement.
“Bonuses traditionally are rewards for good work done… if your books are showing that you have not done very well… then it is just honourable for you yourself to know that you can’t pay bonuses.”
The SIGA Director-General clarified that the Authority is not against the payment of bonuses but insists they must be tied to performance benchmarks outlined in agreements with SOEs.
“In the performance contracts that SIGA signs… there are benchmarks beyond which when you go, you are allowed to pay bonuses…but if you don’t get to that benchmark, you couldn’t be paying bonuses to yourself.”
He also backed recent directives from the Finance Ministry, calling for an immediate halt to unauthorised board allowances and improper bonus payments.
“Those practices of paying bonuses and then also paying board allowances that are not authorised must stop with immediate effect.”
He noted that stricter enforcement will strengthen SIGA’s oversight role in safeguarding public funds.
“It makes our work at SIGA… as the institution entrusted with protecting the public purse… quite easy.”
The warning forms part of broader efforts by SIGA to improve governance, accountability, and financial discipline across Ghana’s state-owned enterprises.
The conference comes amid growing public scrutiny following audit reports highlighting billions of cedis in irregularities within the state enterprise sector. By linking pay to performance and eliminating bonuses for underperforming boards, the government aims to instil private-sector discipline within Ghana’s strategic public institutions.
