At the recent Boardroom Summit, where over 1,000 of the nation\u2019s top CEOs, policymakers, and executives gathered, Professor Douglas Boateng, Chair of the Minerals Income Investment Fund (MIIF), delivered a message on the current state of board compensation in state-owned enterprises (SOEs), asserting that it is unsustainable and immediate reform is critical. <\/p>\n Speaking on the sidelines of the summit, Professor Boateng highlighted the dangers of inadequate boardroom compensation, warning that it threatens the future of these vital institutions. <\/p>\n \u201cWe can no longer pretend everything is fine. How can we expect board members, overseeing organizations with assets exceeding $400 million, to fully commit to their duties when they\u2019re paid less than $380 per meeting or $1,520 per annum? Some receive a paltry $114 per quarter or less than $500 annually. <\/p>\n \u201cThis level of compensation is far too low for the responsibilities involved,\u201d he stated. <\/p>\n Professor Boateng emphasised that board members face increasingly serious risks in today\u2019s corporate landscape. <\/p>\n \u201cIn these days, not only can one\u2019s hard-earned reputation be destroyed, but you can go to jail if things go seriously wrong. \u201cBoard members must take their roles seriously, and for that, they must be properly compensated,\u201d he cautioned.<\/p>\n He also stressed the need for board members to add value through a deep understanding of the companies and industries they oversee. <\/p>\n \u201cProtecting shareholder interests and driving value requires directors to constantly seek information, ask tough questions, and stay informed. <\/p>\n \u201cThis demands time, effort, and fair compensation,\u201d he said. <\/p>\n While recognizing the honour of public service, Professor Boateng insisted that fairness in remuneration is essential. <\/p>\n \u201cServing as a non-executive director in SOEs is a national duty, but the serious responsibilities involved require fair compensation. <\/p>\n \u201cThis call is not for higher pay for current directors and chairpersons, but to ensure that future leaders are properly incentivized to meet modern boardroom governance demands,\u201d he argued. <\/p>\n Professor Boateng\u2019s remarks reignited debate on the future of SOE leadership, making clear that without reform, these enterprises will continue to struggle in attracting and retaining the talent they need to thrive. <\/p>\n \u201cOutdated practices must change. State-owned enterprises are critical to national development and meeting global objectives like the UN SDGs and Africa\u2019s Agenda 2063. <\/p>\n \u201cBoard compensation must reflect the importance of these roles, not just to attract talent but to safeguard the integrity and effectiveness of these institutions,\u201d he added. <\/p>\n Professor Boateng also called for a shift from politically motivated appointments toward merit-based leadership. <\/p>\n \u201cSOE board roles require specialized expertise, strategic thinking, and accountability. Compensation should reflect the demands of the role and if we fail to act, we risk jeopardizing the future of these institutions,\u201d he warned. <\/p>\n Professor Boateng urged swift reform stating, \u201cThe time for change is now. Governments must reassess how SOE boards are compensated, not just for fairness, but to ensure that our state-owned enterprises are led by the best talent equipped to navigate today\u2019s complex global challenges.\u201d<\/p>\n His remarks have sparked a renewed drive for governance reform, with strong support for a forward-thinking approach to board appointments and compensation structures.<\/p>\n AM\/MA<\/p>\n Watch the latest edition of BizTech below:<\/b><\/p>\n![\"Professor](\"https:\/\/cdn.ghanaweb.com\/imagelib\/pics\/152\/15294795.295.jpg\" "\\"Professor")
Professor Douglas Boateng, Board Chair of MIIF<\/span><\/span><\/p>\n<\/div>\n