Gov’t to sell 12 State Owned Enterprises to private investors
The Minister for Public Enterprises in Ghana, Joseph Cudjoe, has recently announced that the names of 12 State Owned Enterprises (SOEs) have been submitted to cabinet for approval to be sold to private investors.
The move is part of the government’s plan to restructure the economy, by making the SOEs more efficient, profitable, and less of a drain on public resources.
According to Mr. Cudjoe, the 12 companies on the list are those that are performing below expectations and making losses. He also revealed that some SOEs will be partly sold, while others will be listed on the Ghana Stock Exchange.
The goal is to invite private investment and allow the public to own part of such state-owned companies, thereby enhancing transparency and making them more viable.
The minister believes that it is time for state-owned companies to run profitably, to protect taxpayers’ money. He stressed the need to deliberately put in place human resources to strategically make SOEs viable, and reduce wastage of funds in the public sector.
By introducing technology in the procurement processes of public sector companies, Mr. Cudjoe aims to check revenue leakages and ensure that they operate more efficiently.
Mr. Cudjoe’s announcement is a part of the government’s larger plan to reform the economy, by reducing the fiscal burden of state-owned companies, improving their efficiency, and attracting private investment.
The move is also aimed at reducing the fiscal deficit, which has been a major concern for the government.
The SOEs that have been submitted for approval have not been publicly disclosed. The minister has explained that the names of the enterprises would be made public after the list receives cabinet approval.
Mr. Cudjoe has also stressed that some strategic state-owned enterprises will be listed to enhance transparency and allow the public to own part of such state-owned companies.
The government of Ghana is taking a step in the right direction by restructuring its economy, by making SOEs more efficient and profitable, and attracting private investment.
This move is a part of a larger plan to reform the economy, which is aimed at reducing the fiscal burden of state-owned companies and attracting private investment to help improve the overall economic performance of the country.
