Ghana’s petroleum sector recorded a decline in the second half of 2025, according to new data from the Bank of Ghana (BoG).

The data, contained in the Central Bank’s Semi-Annual Report on the Petroleum Holding Fund (PHF) and shared on Tuesday, February 3, shows total receipts of US$399.65 million, significantly lower than returns recorded during the same period in 2024.

The report explains that the amount represents combined inflows from crude oil liftings and petroleum-related taxes. However, it fell below the US$369.25 million realised from crude oil liftings alone in the second half of 2024, pointing to weaker overall performance in the sector.

“The total amount received into the PHF account for H2 2025 was US$399.65 million (crude oil lifting total of US$198.25 million and other total income of US$201.40 million),” the report indicated.

The report further indicates that revenue between July 1 and December 31, 2025, was drawn from two main sources. Crude oil liftings from the Jubilee and Sankofa Gye Nyame (SGN) fields generated US$198.25 million, following the lifting of two Jubilee cargoes and one SGN cargo by the Ghana Group, represented by the Ghana National Petroleum Corporation (GNPC).

Ghana earned US$201.40 million from petroleum-related taxes and interest during the period. The bulk of this amount, US$198.09 million, came from corporate income taxes, while US$3.31 million was earned as interest on the Petroleum Holding Fund.

The BoG also explained that revenue from the 25th cargo from the TEN field, valued at US$60.79 million, was not included in the report because the funds had not been received by the end of 2025, even though they were expected in November.

Even though Ghana received less new money from oil during the period, it still spent and distributed a total of US$493.40 million. The spending was cushioned by savings accumulated by the government from previous years to cover the shortfall.

Semi-Annual-Report-H2-2025Download

According to the report, the government used about 57.8% of the total US$493.40 million, amounting to US$285.06 million, to fund its projects and programmes through the national budget. About 23.5%, representing US$115.99 million, was saved to stabilise the economy during difficult times, while US$49.71 million was saved for future generations. Another US$42.63 million was given to the Ghana National Petroleum Corporation to help cover its operational and investment costs.

The report further showed positive investment performance for Ghana’s petroleum savings. The Ghana Petroleum Funds recorded a net realised income of US$28.11 million, with returns of 2.28 per cent for the Heritage Fund and 2.51 per cent for the Stabilisation Fund.

As of December 31, 2025, total petroleum reserves stood at US$1.55 billion, with the Heritage Fund accounting for US$1.38 billion.

Looking ahead, the Bank of Ghana adopted a cautious outlook for 2026, noting that Brent crude prices declined from US$66.61 to US$60.81 per barrel by the end of 2025.

While the International Monetary Fund projects global growth of 3.3 per cent, the report warned that Ghana’s petroleum revenues remain exposed to geopolitical developments in the Middle East and OPEC+ production decisions, with oil prices expected to average about US$62.13 per barrel in 2026.

Meanwhile, in a related development, motorists have started the New Year on a good note, with less pressure on their pockets, as several Oil Marketing Companies (OMCs) have effected a reduction in fuel prices at their respective pumps across the country in the January pricing window.

The price cuts, which took effect in the early hours of the New Year, signify a continued downward trend in petroleum costs, offering much-needed breathing room for both commercial and private transport users.

Among the first OMCs to effect the reduction was market leader Star Oil. It set the pace and a benchmark for other OMCs as it adjusted its digital displays, reflecting a marginal dip from previous prices.

Petrol is now selling at GH¢10.86 per litre, diesel is priced at GH¢11.96 per litre, and RON 95 is selling at GH¢13.56 per litre.

According to Star Oil management, the reduction in oil prices is a result of a “favourable domestic and external cost environment,” citing the cedi’s appreciation and a dip in international refined product prices.

It said the current reductions may only be the tip of the iceberg for January. The Chamber of Oil Marketing Companies (COMAC) projected a robust outlook for the month, suggesting that competitive pressures will force more OMCs to follow suit in the coming days.

In its January pricing outlook, COMAC provided a breakdown of the expected percentage declines. It projected that petrol would fall by up to 4.80 per cent, while diesel was also estimated to drop by approximately 3.77 per cent. LPG, on the other hand, was expected to see a reduction of roughly 2.19 per cent.

Industry analysts believe that if the cedi maintains its current trajectory and international crude prices remain below US$80 per barrel, Ghanaians could see even more substantial relief by the second pricing window in mid-January.

While fuel prices are dropping, Ghanaians have had to brace themselves for an increase in utility tariffs, which took effect on January 1, 2026.

Following the announcement, there was widespread disapproval, particularly from stakeholders and the general public.

On December 2, 2025, the Public Utilities Regulatory Commission (PURC) announced an imminent increase in tariffs, with the new rates set to take effect from January 1, 2026. The Commission said the increases—9.86 per cent for electricity and 15.92 per cent for water—had become necessary to meet utility investment needs, respond to macroeconomic pressures, and ensure the long-term stability of the sector.