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SSNIT hotels sale: Labadi Beach Hotel is a cash cow, not struggling like govt claims – Ablakwa

The Member of Parliament for North Tongu, Samuel Okudzeto Ablakwa, has revealed that Labadi Beach Hotel, one of the six hotels owned by Hotel Investments Ghana Limited, a subsidiary of the Social Security and National Insurance Trust (SSNIT), is a profitable venture, contrary to government claims that it is struggling.

“Contrary to the deceptive government/SSNIT narrative, the financials show that Labadi Beach Hotel is far more profitable than previously thought,” Ablakwa stated.

According to Ablakwa, who has obtained the hotel’s financial statements for the past decade, Labadi Beach Hotel has a cash reserve of GHS54,855,795.00 in five bank accounts and posted a turnover of GHS120,438,655 in 2022, which increased to GHS188,076,649 in 2023.

The hotel also recorded a gross profit of GHS70,734,099 in 2022, which more than doubled to GHS158,490,448 in 2023. Additionally, the hotel has paid GHS20,318,232 in taxes to the government over the past five years.

“Clearly, Labadi Beach Hotel is a cash cow and not a struggling hotel as government propagandists are claiming,” Ablakwa emphasized.

Ablakwa argues that the hotel’s profitability makes it a “cash cow” and questions the government’s claim that it needs a strategic investor to inject capital and efficiency.

He suggests that the all-Ghanaian management of Labadi Beach Hotel should be considered to manage all of SSNIT’s hotels.

“Probably the all-Ghanaian management of Labadi Beach Hotel should be asked to manage all of SSNIT’s hotels,” he proposed.

The MP has vowed to continue his campaign against the sale of the hotels, with a demonstration planned for June 18.

“Hands off our SSNIT hotels or get ready for our June 18 DEMO!” he declared.