State-Owned Enterprises must aim at achieving dual objectives of quality service and profit-making
Professor Michael Kpessa-Whyte, Acting Director-General of the State Interests and Governance Authority (SIGA) has charged State Owned Enterprises (SOEs) to achieve the dual objectives of quality service and profit-making.
Prof Kpessa-Whye met with Finance Minister Dr Cassiel Ato Forson to discuss SIGA’s forward march to enhance efficiency in the operations of Ghana’s State Entities (SE).
Following the meeting, he wrote on X that “State-Owned Enterprises must aim at achieving the dual objectives of quality service and profit-making.”
Today, I met with the Hon. Minister of Finance, @hon_atoforson to discuss @sigaghana‘s forward march to enhance efficiency in the operations of Ghana’s State Entities (SE). State-Owned Enterprises must aim at achieving the dual objectives of quality service and profit-making.
— Michael Kpessa-Whyte (@kpessawhyte) February 7, 2025
Prof Kpessah-Whyte has also engaged officials of the World Bank in the move to ensure that SOEs become effective and profitable.
The engagement was held in Accra on Tuesday, February 25.
He indicated that the move also forms part of the efforts of President John Dramani Mahama to reform Ghana’s SOEs.
In a post on his X page, he said “As part of initial steps towards honouring President Mahama‘s promise to reform Ghana’s SOEs, SIGA met and had fruitful deliberations with the Country Director and other officials of World Bank Ghana on enhancing the efficiency and profitability of SOEs.”
Across sectors such as energy, transportation, and utilities, Ghana’s SOEs account for a significant portion of public expenditure and employment. However, their performance has varied:
– Performing Enterprises: A few SOEs like the Ghana National Petroleum Corporation (GNPC) have strategically capitalized on Ghana’s natural resources, contributing to GDP growth and attracting foreign investment. Drawing parallels with successful international models, such as Saudi Aramco’s efficient resource management or Norway’s Statoil, GNPC exemplifies the positive impact of strategic governance and investment in technology.
Recenlty, an alansyst, Atitso Akpalu hiuglighted the chllanges facing SEOs.
Governance and Transparency: Limited accountability and transparency have often led to corruption and inefficiencies, contrasting sharply with the robust oversight evident in UK or Canadian SOEs.
Political Interference: Frequent government intervention often compromises operational independence, as seen with public sector appointments based on political affiliation rather than merit.
