Akufo-Addo Warns State-Owned Enterprises to Submit Ownership Reports on Time

President Akufo-Addo warns state-owned enterprises in Ghana to submit ownership reports on time or face consequences, citing transparency and accountability concerns.

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Akufo-Addo Warns State-Owned Enterprises to Submit Ownership Reports on Time

Akufo-Addo Warns State-Owned Enterprises to Submit Ownership Reports on Time

President Nana Addo Dankwa Akufo-Addo has issued a stern warning to heads and management of state-owned enterprises (SOEs) in Ghana to submit their ownership reports on time or face consequences. The president gave this directive at the 2024 Annual Policy and Governance Forum in Accra, emphasizing that delays in the preparation and publication of state ownership reports will no longer be accepted.

Akufo-Addo cautioned that failure to comply with the timely reporting requirements set out by the State Interest and Governance Authority (SIGA) could negatively affect Ghana's financial arrangement with the World Bank. The president noted that the 2023 State Ownership Report is expected to be completed by August 31, 2024, and non-compliance will have negative consequences.

Why this matters: Timely submission of ownership reports by state-owned enterprises is crucial for maintaining transparency, accountability, and effective corporate governance in the management of public organizations. Failure to comply with reporting requirements could jeopardize Ghana's financial arrangements with international institutions like the World Bank, which provide essential funding for various development programs in the country.

The president expressed concern over the delays in the preparation and publication of state ownership reports, attributing them to the non-compliance of public entities in submitting their financial statements to SIGA. He stated, "These delays will no longer be accepted, and all entities must comply fully with SIGA's submission requirements."

Akufo-Addo also highlighted some positive developments, such as an increase in the number of specified entities included in the national accounts and a significant increase in the total revenue of these entities. The government has launched two policy documents, the State Ownership Policy and the Code of Corporate Governance for Specified Entities and Public Service Organizations, aimed at improving the governance and management of public enterprises.

The president directed all board chairs, heads of state entities, and their management teams to ensure full compliance with the submission requirements. He tasked entities that have not aligned themselves with the oversight mechanisms established by SIGA to do so urgently, warning that their reluctance to comply undermines the integrity of the nation's financial governance framework.

President Akufo-Addo emphasized the importance of SOEs delivering on their mandates and contributing to the national economy. He stated that upholding the principles of good corporate governance, including accountability and transparency, is essential to safeguard the state's interests in the management of public enterprises. The government aims to encourage institutional reforms and increase operational efficiencies in SOEs to ensure they make a significant contribution to Ghana's GDP and economic growth.

Key Takeaways

  • President Akufo-Addo warns SOEs to submit ownership reports on time or face consequences.
  • Delays in reporting could negatively impact Ghana's financial arrangements with the World Bank.
  • Timely reporting is crucial for transparency, accountability, and corporate governance in SOEs.
  • Government has launched policies to improve governance and management of public enterprises.
  • SOEs must align with SIGA's oversight mechanisms and deliver on their mandates to contribute to GDP.