The Social Security and National Insurance Trust (SSNIT) has reaffirmed its commitment to maintaining ownership of its hotel investments, with Director-General Kwasi Afreh Biney insisting that there are no plans to divest from any of the Trust’s hospitality assets.
Speaking on Joy News’ PM Express Business Edition, Mr Afreh Biney sought to put an end to speculation surrounding the future of SSNIT’s stake in major hotels, including Labadi Beach Hotel and La Palm Royal Beach Hotel.
According to him, the Trust considers its hotel portfolio a strategic investment and has no intention of selling any of the properties.
“None of our hotels are up for sale,” he stated.
Mr Afreh Biney highlighted Labadi Beach Hotel as one of SSNIT’s strongest-performing assets, noting that it has consistently generated returns for pension contributors through annual dividend payments.
He revealed that the hotel paid SSNIT GH¢17.8 million in dividends based on its 2024 financial performance and indicated that an even larger payout could be expected following the hotel’s latest results.
The Director-General disclosed that Labadi Beach Hotel recorded profit before tax exceeding GH¢67 million and profit after tax of more than GH¢50 million, underscoring its strong financial health.
Rather than seeking external investors, SSNIT is currently exploring opportunities to expand the hotel’s operations and increase its accommodation capacity.
The Trust, he explained, believes the hotel is financially robust enough to secure funding independently if expansion financing becomes necessary.
Mr Afreh Biney also rejected suggestions that discussions were underway to introduce a strategic investor into Labadi Beach Hotel, describing such claims as unfounded.
While expressing confidence in Labadi Beach Hotel’s performance, he acknowledged that some assets within the Golden Beach Hotels Group — including La Palm Royal Beach Hotel, Elmina Beach Resort and Busua Beach Resort — continue to face operational and financial challenges.
To address these concerns, SSNIT has commissioned consultants to develop a comprehensive five-year recovery strategy for the group. The consultants’ recommendations are currently under review and are expected to guide future decisions regarding the management of the hotels.
Despite the challenges, Mr Afreh Biney noted that early signs of improvement are already emerging. He cited La Palm Royal Beach Hotel’s return to profitability in 2024, when it recorded a profit of GH¢1.8 million after years of financial difficulties.
According to him, various options remain available to improve the performance of underperforming assets, including management contracts, operational restructuring and leasing arrangements that would generate stable income while preserving ownership.
However, he stressed that any reforms would be aimed at strengthening the hotels rather than disposing of them.
Mr Afreh Biney maintained that SSNIT’s priority is to maximise value from its investments for contributors while safeguarding ownership of strategic national assets.
“We will not sell Labadi Beach Hotel, and we will not sell La Palm,” he said, reiterating the Trust’s position on the future of its hospitality investments.
