Ghana’s petroleum sector continues to remain one of the cornerstones of the national economy in terms of revenue generation. The country earned about $770 million from petroleum resources in 2025; however, beyond the headline figure lies a detailed story of how that money was shared, spent, and in some cases, used to stabilize key parts of the economy.
A detailed check by The High Street Journal of the newly released 2025 PIAC Annual Report reveals how the petroleum receipts were distributed throughout the year.
While the figure is substantial, the story of where that money went, and why, paints a picture of a nation balancing immediate developmental needs with long-term security.
Now, here is how the country utilizes the little over $770 million oil money it received in 2025.
Funding the National Dream: The Annual Budget Funding Amount (ABFA) Takes the Lionshare
The largest slice of the 2025 oil pie, totaling US$433.28 million, was channeled into the Annual Budget Funding Amount (ABFA). This is the money that hits the ground in the form of roads, schools, and hospitals across the country.
Despite being the largest beneficiary, the ABFA felt the pinch in 2025. The total disbursement was 24.39 percent short of what the government had budgeted for the year and 12.39 percent lower than the previous year’s allocation.
Interestingly, the report reveals an eleventh-hour surge; it was only in the fourth quarter that the quarterly ABFA target was finally met, largely thanks to the reduced percentage allocated to the GNPC, which freed up more cash for the budget.
The GNPC: A Leaner Year for the National Oil Company
The Ghana National Petroleum Corporation (GNPC), the engine room of the country’s oil operations, received US$107.89 million in 2025.
This funding is vital for covering Equity Financing Costs and the nation’s Carried and Participating Interest in oil blocks.
However, the GNPC had to operate with a significantly smaller wallet this year. This allocation represents a sharp 39.45 percent drop from the US$198.89 million it received in 2024.
The reason for this dramatic decrease wasn’t a lack of performance, but a deliberate policy shift: the allocation rate for the GNPC was slashed from 30% to 15% of net carried and participating interest.
Savings and Stability: The Ghana Petroleum Funds
While much of the oil revenue is spent on today’s needs, Ghana continues to prioritize tomorrow through the Ghana Petroleum Fund (GPF). In 2025, US$229,293,581.01 was transferred into these “savings accounts.”
This total was split into two distinct pots. The Ghana Stabilisation Fund (GSF) received US$160.47 million, which represents 70% of the GPF share. These funds act as a cushion for the economy, intended to protect the national budget if oil prices suddenly crash or production dips.
The Ghana Heritage Fund (GHF) received US$68.77 million, representing 30% of the GPF share. This is an endowment for future generations, ensuring that even when the oil eventually stops flowing, the wealth generated today continues to benefit Ghanaians yet unborn.
Like the other sectors, the GPF saw a significant reduction in 2025, receiving 60.77 percent less than it did in 2024.
A Call for Prudence
PIAC says the 2025 disbursement data serves as a reminder of the volatility and finite nature of resource wealth.
With receipts picking up significantly in the second half of the year compared to the first, the PIAC report concludes with a vital message for policymakers that there is an urgent need to manage these funds prudently to ensure the impact is felt across all sectors of the economy and, most importantly, that the benefits last for the long term.
