President John Dramani Mahama has issued a stern warning to State-Owned Enterprises (SOEs) that continue to operate at a loss, stating that they will either be merged, privatized, or shut down as part of efforts to enhance public sector efficiency and ensure economic sustainability.
Addressing Chief Executive Officers (CEOs) of SOEs, President Mahama stressed the urgent need for financial discipline and improved performance among state-run businesses. He made it clear that the government would no longer tolerate inefficiencies that place an unnecessary strain on the national economy.
“Loss-making SOEs will no longer be tolerated. They will be swiftly reformed. They will be merged, privatized, or shut down,” the president declared.
This firm stance marks a significant policy shift, as the government moves away from continuous bailouts and subsidies for struggling enterprises. Instead, the priority will be to make SOEs profitable, competitive, and self-sustaining.
SOEs play a vital role in Ghana’s economy, operating in key sectors such as energy, transport, agriculture, banking, and manufacturing.
However, persistent inefficiencies have led to financial losses, prompting the government’s renewed commitment to reform.
Mahama’s directive sets the stage for greater accountability and a results-driven approach to managing Ghana’s state enterprises.
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