President Charges SOEs to Contribute to Job Creation

President Nana Addo Dankwa Akufo-Addo has called on State Owned-Enterprises to operate efficiently to help reduce unemployment.

The President made the call while delivering the Keynote address at the annual Performance Contract Signing Ceremony organised by the State Interests and Governance Authority at the Movenpick Ambassador Hotel in Accra.

The Performance Contract Signing Ceremony is the biggest gathering of CEOs, Managing Directors and Board chairpersons of State-owned enterprises and public corporations as they sign a contract aimed at measuring their stewardship during the financial year.

During his Address the President called on SOEs to adopt best corporate governance practices, and to operate profitably to expand their operations to create jobs for the youth of Ghana.

Finance Minister

Minister for Finance, Ken Ofori-Atta who also spoke at the ceremony said Ghana has failed to use State Owned-Enterprises efficiently as an engine for growth since 1957. According to the finance minister, despite the enormous investment by government in SOEs and Public corporations, many of these entities continue to post losses, which has necessitated the need for a renewed performance contract between the State and its Enterprises.

“To recover from Covid we must pursue accountability, transparency and responsible custodianship”, he said.

Public Enterprise Minister

The Minister for Public Enterprises, Joseph Cudjoe, who also spoke at the 2021 Performance Contract Signing Ceremony praised the President for his vision in solving the problems facing state entities.

“Your Excellency, you are solving a Sixty-four-year-old problem by your appointment for the first time in this country, a Minister for Public Enterprises as well as the establishment of SIGA”

He also emphasised that his ministry and SIGA are in to solve the problem of fragmented ownership and governance oversight, which have led to the current low performance levels of public enterprises since independence.

Director-General, SIGA

The Director General of the State Interests and Governance Authority, Stephen Asamoah-Boateng in his welcome address, enumerated some of the successes and challenges of SIGA since its inception in 2019

“Your Excellency, the road to actualise the SIGA Act has not been smooth sailing. I must say that from last year till date a lot has been achieved especially judging by the number of Specified Entities taking part in today’s event.  We have had to work really hard and I must be quick to add that most of the Sector Ministers have been very supportive”, he said

He said however, that despite these successes, SIGA is yet to receive the full complement of the Specified Entities coming on-board, as the authority also battles with several legal challenges in the courts in its effort to secure some State assets.

The Director General also raised the issue of a lack of legislative instrument to back the SIGA Act.

“Last but not all is the lack of Legislative Instrument to back the SIGA Act 990. We hope that just as you have assisted us in the past together with our sector minister, we can also work together to solve this challenge soon”, he said.

Solidarity Messages

There were solidarity messages from the World Bank Country Director, Mr. Pierre Laporte and the French Ambassador to Ghana, H. E. Anne Sophie AVÉ.

This year’s event was under the theme: Driving the implementation of performance enhancement measures in SOEs, JVCs and Other State Entities.

In all, 70 State-owned enterprises, which had negotiated performance agreements with the State Interests and Governance Authority, signed the performance contracts on the day

Share this: