Governance expert Kwaku Anane Gyinde has commended President John Dramani Mahama for directing the State Interests and Governance Authority (SIGA) to conduct independent audits of state-owned enterprises (SOEs). According to him, this move is necessary to assess their efficiency and financial viability.
Speaking on the Asaase Breakfast Show monitored by MyNewsGh, Gyinde stressed that poor governance regulations contributed significantly to Ghana’s 2018 financial sector crisis.
“If compliance with governance regulations had been enforced, we could have minimised or even avoided the financial sector crisis of 2018,” he remarked.
He further highlighted the need for a clear distinction between profit-driven SOEs and regulatory bodies, stating that treating them the same way creates confusion.
“We must be clear about which SOEs are expected to generate profit and pay dividends, and which are regulatory bodies meant to serve the public good. Lumping them together leads to confusion and unrealistic expectations,” Boadu explained.
Citing COCOBOD as an example of financial mismanagement, he questioned its spending priorities.
“How does COCOBOD justify buying fertilisers, Wellington boots, and torches for farmers at the taxpayer’s expense? If these services are not benefiting farmers, then they are just a financial drain on the state,” he argued.
Gyinde believes Mahama’s decision to audit SOEs will help expose inefficiencies and ensure public funds are used more effectively.
The post Poor Governance caused 2018 financial crisis – Expert endorses Mahama’s SOE review appeared first on MyNewsGh.
