Oil Revenues Dip in First Half of 2025 Due to Falling Global Prices — Technical Advisor Yussif Sulemana

Dr. Yussif Sulemana, Technical Advisor at Ghana’s Ministry of Energy, has confirmed that the recent decline in the country’s oil revenues for the first quarter of 2025 stems not from a drop in production volume, but from a sustained slump in global oil prices.

Speaking in a recent media briefing, Dr. Sulemana clarified that while Ghana’s oil output has remained stable, the country’s revenue inflows have been significantly impacted by a weakening international market. “The slump in oil revenue in the first half of 2025 is largely due to lower global oil prices,” he said .

📉 Stable Production, Falling Receipts

The statement reflects an important distinction: Ghana continues to produce oil at consistent levels, with fields such as Jubilee, TEN, and Sankofa–Gye Nyame maintaining operations. Yet, lower crude prices globally have undercut revenue projections, highlighting the vulnerability of export-dependent revenues to international price shifts.

This phenomenon echoes broader trends observed in recent years, where global oversupply and shifting demand dynamics—exacerbated by economic slowdowns and increased energy efficiency—have depressed crude market values . Ghana’s revenue performance in 2023 and early 2024 followed a similar pattern, where lower volumes and price reductions both weighed on export receipts.

💡 Implications for Fiscal Planning

Dr. Sulemana’s assessment raises immediate concerns for Ghana’s fiscal outlook. Projections for state revenue—especially those anchored in oil income—may need revision downward, affecting budget allocations for public services and infrastructure projects.

Officials within the Ministry of Energy and Finance are reportedly reviewing fiscal buffers and contingency measures to mitigate the impact. No production cuts have been announced, suggesting the government views maintaining output as essential despite price volatility.

🌍 Global Context and Strategic Considerations

In light of fluctuating oil markets, Ghana’s energy strategy may need to emphasize diversification and price hedging mechanisms. The continued reliance on export earnings from oil positions the economy at risk in periods of low global prices. Enhancing local gas utilisation, domestic petrochemical development, and renewable energy investment could help cushion future shocks.

In summary, Ghana’s first-quarter oil revenue downturn in 2025 is attributed to global price weaknesses rather than a decline in output. The government continues to monitor the global market while seeking ways to bolster fiscal resilience and sustain economic stability.