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Sunday, December 5, 2021

Consolidated Bank, Ghacem, others lined up for listing on Stock Exchange

Director-General of SIGA, Stephen Asamoah-BoatengDirector-General of SIGA, Stephen Asamoah-Boateng

The State Interest and Governance Authority (SIGA), will recommend 10 State-Owned Enterprises for listing on the Ghana Stock Exchange, as the government looks to attract private capital to improve their operations.

SIGA is exploring various strategies including divestiture, joint-ventureship among others to “enhance efficiency of performing SOEs and revive the struggling ones,” Director-General of SIGA, Stephen Asamoah-Boateng told GBC News.

The Consolidated Bank Ghana which was formed out of seven dissolved banks in the financial sector crisis is part of the first batch of SOEs to be recommended for listing, persons familiar with the matter disclosed to GBC News.

The rest include cement producer Ghacem, Ghana Gas Company, Twifo Oil Palm Plantation, TDC Development Company, Ghana Rubber Products among others.

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SIGA will submit the proposal to the Ministry of Public Enterprises to be forwarded to Cabinet for approval.

“Indigenous investors interested in ownership of SOEs should make funds available,” Steven Asamoah Boateng told GBC News.

President Nana Addo Dankwa Akufo-Addo’s government is targeting to revive viable SOEs whose operations have been hampered by debt, lack of financing and poor corporate governance practices.

“We seek to leverage on the capital market to improve the productivity of SOE’s and create jobs, while safeguarding the state’s investment,” Public Enterprises Minister Joseph Cudjoe told GBC News.

ECG Privatisation

The Minister said privatising the Electricity Company of Ghana remains a top priority as government looks to reducing commercial losses and improving the operations of the national electricity distributor.

“We remain committed to attracting private funds into ECG to enhance its service delivery while making it profitable,” Joseph Cudjoe told GBC News.

The Government of Ghana had earlier contracted the Power Distribution Services as a concessionaire to run ECG, but the contract was terminated after it discovered the payment guarantees provided by PDS were invalid.

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