{"id":4887,"date":"2024-04-15T09:16:22","date_gmt":"2024-04-15T09:16:22","guid":{"rendered":"https:\/\/www.fishfmonline.com\/?p=4887"},"modified":"2024-04-15T09:16:25","modified_gmt":"2024-04-15T09:16:25","slug":"john-boadu-reveals-why-some-soes-are-incurring-losses","status":"publish","type":"post","link":"https:\/\/www.fishfmonline.com\/?p=4887","title":{"rendered":"John Boadu reveals why some SOEs are incurring losses"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\">The Director-General of the State Interest and Governance Authority (SIGA), John Boadu, has explained that some<a href=\"https:\/\/www.adomonline.com\/?s=SOEs\">&nbsp;State Owned Enterprises&nbsp;<\/a>(SOEs) make losses because not all of them operate as businesses.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Speaking on The Probe on<strong>&nbsp;JoyNews<\/strong>, he said some of them are for the provision of services for the citizens of Ghana.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">He added that SIGA ensures that their regulations are respected and their targets are achieved, while taking into consideration the social environment they find themselves.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">As a result, SIGA is working to ensure that all SOEs sign up for the State Ownership Report (SOR) where the management provides a comprehensive financial assessment of the performance of state enterprises, and offers insights into their achievements, challenges, and areas for improvement.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cAs we speak, it\u2019s 175 (companies). That\u2019s the number of enterprises we have. Let me give you the details of the breakdown. SOEs were 53, JVCs (Joint Venture Companies) were 47, and other specified entities were 75.\u201d<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cEven with the 175 that we\u2019ve had, if you check those that have signed performance contracts, you realise that there\u2019s much improvement, but we need to do a lot more. One thing you must notice is that most of these organisations are not necessarily set up to make profit. Some of them are for the provision of social good for the citizens of this country,\u201dMr Boadu said.<\/p>\n\n\n\n<figure class=\"wp-block-embed is-type-video is-provider-youtube wp-block-embed-youtube wp-embed-aspect-16-9 wp-has-aspect-ratio\"><div class=\"wp-block-embed__wrapper\">\n<div class=\"ose-youtube ose-uid-0193d5e267186f89e326ae1ca7fa8364 ose-embedpress-responsive\" style=\"width:400px; height:400px; max-height:400px; max-width:100%; display:inline-block;\" data-embed-type=\"Youtube\"><iframe loading=\"lazy\" allowFullScreen=\"true\" width=\"400\" height=\"400\" src=\"https:\/\/www.youtube.com\/embed\/KSuhmw7pp4M?feature=oembed&color=red&rel=0&controls=1&start=&end=&fs=0&iv_load_policy=0&autoplay=0&mute=0&modestbranding=0&cc_load_policy=1&playsinline=1\" frameborder=\"0\" allow=\"accelerometer; encrypted-media;accelerometer;autoplay;clipboard-write;gyroscope;picture-in-picture clipboard-write; encrypted-media; gyroscope; picture-in-picture\" allowfullscreen referrerpolicy=\"origin\"><\/iframe><\/div>\n<\/div><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\">He noted that in improving some of these entities, one major challenge was seeing that the objectives for setting them up and their market cases had changed.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">However, SIGA has been able to ensure that some of these important institutions run as businesses.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cLet\u2019s take VRA for instance. They are into helping in the distribution of electricity. They will be into transport, real estate, provision of health, provision of education and all that. It was good at that time, because at that time, we had then established with people\u2019s resources from the places that they give it out for free. So, that service is there, and all those services add to the losses they are making.\u201d<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cSo now what they\u2019ve been able to do is that, they\u2019ve started hiving off some of these important institutions and running them as business. So for instance, if you go to VRA now, their hospitals run as a business, although there\u2019s a social component part of it, to reduce their losses.\u201d<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Citing the Ghana Consolidated Diamond Company as another example, he said the institution has vast land that has not been fully utilised, and also runs a hospital that residents of Akwatia visited for free.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">But \u201cnow it\u2019s [The hospital] just running on its own as a business entity and not making losses anymore. They have a school that they are running now as a business entity and they are doing so well. We have empowered them to, so we have a new status and board specifically for them, for them to run as an entity,\u201d Mr Boadu added.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The SIGA Director-General believes that these institutions and many others have a huge potential to make a lot of profit for the country, and as such his outfit is working to ensure they are run smoothly.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Director-General of the State Interest and Governance Authority (SIGA), John Boadu, has explained that some&nbsp;State Owned Enterprises&nbsp;(SOEs) make losses because not all of them operate as businesses. Speaking on The Probe on&nbsp;JoyNews, he said some of them are for the provision of services for the citizens of Ghana. He added that SIGA ensures that [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":4889,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"footnotes":""},"categories":[41,18],"tags":[1640],"class_list":["post-4887","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general-news","category-politics","tag-john-boadu"],"_links":{"self":[{"href":"https:\/\/www.fishfmonline.com\/index.php?rest_route=\/wp\/v2\/posts\/4887","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.fishfmonline.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.fishfmonline.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.fishfmonline.com\/index.php?rest_route=\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.fishfmonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=4887"}],"version-history":[{"count":1,"href":"https:\/\/www.fishfmonline.com\/index.php?rest_route=\/wp\/v2\/posts\/4887\/revisions"}],"predecessor-version":[{"id":4890,"href":"https:\/\/www.fishfmonline.com\/index.php?rest_route=\/wp\/v2\/posts\/4887\/revisions\/4890"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.fishfmonline.com\/index.php?rest_route=\/wp\/v2\/media\/4889"}],"wp:attachment":[{"href":"https:\/\/www.fishfmonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=4887"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.fishfmonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=4887"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.fishfmonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=4887"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}