Ghana’s petroleum sector is facing a significant downturn, with revenue falling by 56% in the first half of 2025 compared to the same period last year. According to the latest Semi-Annual Report from the Public Interest and Accountability Committee (PIAC), the country collected only US$370.34 million in petroleum receipts, a sharp decline from US$840.77 million in H1 2024. The report highlights the growing vulnerability of Ghana’s oil-dependent public finances amidst fluctuating global markets.
PIAC attributed the drop primarily to lower crude oil liftings and a fall in international oil prices. These factors affected Ghana’s three main producing fields — Jubilee, TEN, and Sankofa-Gye Nyame (SGN) — resulting in reduced export revenues. The Committee emphasized that petroleum inflows, derived from Corporate Income Taxes (CIT), Carried and Additional Participating Interest (CAPI), Royalties, Surface Rentals, and interest on the Petroleum Holding Fund (PHF), are critical to sustaining government operations and financing the energy sector.
Breaking down the contributions, CAPI led with US$178.48 million (48% of total inflows), followed by CIT at US$148.75 million (40%). Royalties generated US$40.15 million (10.8%), while interest on the PHF added US$2.10 million, and surface rentals contributed US$0.86 million, accounting for less than 1% of total receipts. Since Ghana began oil production in 2011, cumulative petroleum revenues have reached US$11.58 billion, underscoring the sector’s enduring role in the economy despite recent volatility.
PIAC warned that the sharp decline in petroleum revenue could strain government budgets and disrupt financing for energy projects if corrective measures are not implemented. The Committee urged authorities to intensify efforts to attract new investments into the upstream oil and gas sector and stabilize production levels, highlighting the risk of further weakening fiscal outlooks if oil output continues to fall.
The Committee also reiterated its call for enhanced transparency and stronger oversight of state-owned enterprises in the petroleum sector. PIAC stressed that better governance and effective revenue management are essential to maximize returns for Ghana and safeguard public finances against future shocks in the global oil market.
source: citi newsroom