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State-owned enterprises at the mercy of looting brigades – Group wants heads to roll

State-owned enterprises at the mercy of looting brigades – Group wants heads to roll

Source: tntnewspapergh.com

 

The Convenor of United Voices for Change,Mr.Sylvestin Ronald Antwi,has organized a press conference on the current deplorable state of the Ghanaian State-Owned Enterprises(SOEs).

Making reference to what Daisaku Ikeda once said “Our voices resonate with life. Because this is so, it can touch the lives of others. The caring and compassion imbued in your voice finds passage to the listeners soul, striking his or her heart and causing it to sing out; the human voice summons something profound from deep within, and can even compel a person into action”.

Speaking to the media at True Vine hotel on Tuesday,23rd April,2024, Ronald Antwi, said
State-owned enterprises (SOEs) significantly impact the economy, often playing major roles in key sectors such as energy, agriculture, infrastructure, transportation, telecommunications among others. Explaining that SOEs performance affects economic growth, government finances, and overall investor confidence.

 

The Convenor said the United Voice for Change, as voice of reasoning, a voice of conscience and the voice for the ordinary Ghanaian, is deeply concerned about the apparent mismanagement and financial losses incurred by key SOEs in Ghana. Recent reports from the Auditor-General have revealed alarming figures showcasing the deteriorating financial health of these entities which are crucial for the country’s development and economic stability.

He said for example,, Cocobod, a vital player in Ghana’s agricultural sector, has been recording substantial losses over time. In 2017, Cocobod made a loss of GHS 161.3 million, although its revenues had increased to GHS 10.25 billion from GHS 9.15 billion in the previous year.

The company also made losses of GHS 78.22 million in 2018, GHS 320.57 million in 2019, GHS 426.32 million in 2020 and a staggering GHS 2.44 billion in losses in 2021. Meanwhile, this was a company that had made reasonable profits of GHS 329.3 million and GHS 152.15 million in 2014 and 2015 respectively.

According to Mr.Antwi,the losses which began in 2016 are ballooning by the years, reaching GHS 2.44 billion in 2021.
Also, the Ghana Water Company Limited, responsible for providing safe and reliable water services to the population, has equally faced significant challenges. A company which had made a profit of GHS 101.14 million in 2016 has been turned into a loss-making machine, registering losses of GHS 692.2 million in 2017, GHS 667.9 million in 2018 and a staggering GHS 2.6 billion in losses in 2019. In 2020, the company made losses to the tune of GHS 939 million, although its revenues in that year had increased to GHS 1.3 billion from GHS 902 million in the previous year.

Furthermore, ECG, tasked with providing electricity to the nation, has also experienced a decline in performance.

He revealed that ECG reported a loss of Gh¢1.914 billion in 2021, having made profit of GHS 181 million in the previous year.

” The company also made losses of GHS 1.47 billion and GHS 2.27 billion in 2019 and 2018 respectively. This demonstrates a clear failure of leadership and a lack of accountability within the organization.

He lamented that Ghana Airport Company is another culprit.

According to him,the company has consistently made losses since 2019. From losses of GHS 231.34 million in 2019, the losses almost doubled in 2020, reaching GHS 434.77 million. In 2021, the company’s losses were a little over GHS 252 million.

To buttress his argument,he quoted Maya Angelou ,who once said “Words are more than what is set down on paper. It takes the human voice to infuse them with deeper meaning” the increasing losses of these entities has a significant repercussion on the country’s economy.

These repercussions include but not limited to the following:
Financial Drain: When SOEs make losses, the government is required to financially support them to sustain their operations.

He said Myjoyonline’s publication on April 10, 2024, which reads “GNPC may not survive if government ceases to support corporation after 2026-IPAC”, is really disheartening. Funds that can be channelled or allocated to other critical areas such as infrastructure development, healthcare, and education is going to be used to support an SOE, which is a profit-oriented entity and was established to make profit. How did we get here?

The rest of the statement reads”increased Debt and Reduced Investment: If SOEs are unable to cover their costs and sustain operations, they may resort to adding up to the national debt, which will lead to an increase in national debt levels, and ultimately putting pressure on the country’s financial stability. Indeed, the inclusion of the indebtedness of these SoEs in Ghana’s Debt Sustainability Analysis (DSA) saw a deterioration in the country’s Debt to GDP ratio, threatening the sustainability of the country’s debt over the medium to long term. The continuous debt distress could potentially deter foreign investors from investing in the country.

Erosion of Public Confidence: Continued losses among SOEs will erode public confidence in the government’s ability to manage the economy effectively. This can lead to a loss of trust in government institutions and policies, affecting overall economic stability.

These are signs of issues with the government’s business practices, which also raises concerns about the commitment of the government towards the efficient running and sustainability of SOEs.

What is evident is that our State-Owned Enterprises are underperforming; this has drained the country’s resources and plunged the country into underdevelopment and indebtedness.

Undisputably, SOEs are profit-oriented entities and should be making profits. Sadly enough, it appears the managers of these enterprises are more loyal to their appointing authorities than to the development of the companies, leading them to deliberately run SOEs at a loss.
The increasing losses and the lack of measures to curtail it suggest a deliberate attempt by politicians to push the CEOs of these SOEs to run the enterprises into a ditch, and later engage in corrupt practices of selling off the devalued SOEs to themselves.

Also, SOEs have been an avenue for rewarding party apparatchiks. Appointments to State-Owned Enterprises in Ghana have become a means of rewarding political loyalty rather than appointing qualified individuals who are enthusiastic about working for the growth of these enterprises. SOEs are underperforming because the CEOs of these enterprises, when appointed, face pressure from politicians to do their bidding.

We cannot say SOEs are running at a loss without speaking about their leadership. The means of appointing CEOs to manage the various SOEs is terribly flawed and needs to be investigated. Ladies and gentlemen, Bad leadership and poor management of the state resources by government officials elected or appointed into high offices has today turn almost 60% of the Ghanaian girls into hookups due to the distress in the economy and the difficulties in finding employment.

The behaviour of any organization is a reflection of its leadership. You cannot take the management of SOEs away from the mess created. The leadership of these enterprises has engaged in gross mismanagement and needs to face the consequences. Issues relating to conflict of interest, procurement fraud, spending without board approval, and procurement of items that have not been planned for, as well as contracting of loans without going through the due process, are all considered fraudulent acts and must be investigated.

United Voice for Change believes that SOEs are an integral part of nation building and play a crucial role in supporting the government’s development agenda. However, the current state of affairs within these entities is unacceptable and requires immediate action especially from our president because, as the president, he (H.E. Nana Addo Dankwa Akuffo Addo) is the elected CEO of all the Ghanaian State Enterprises and therefore, his major responsibility and ultimate goal at this crucial moment, is to ensure the smooth and successful running of these companies with high returns and at worst, break-even but shockingly and surprisingly enough, H.E. Nana Akuffo Addo as the elected CEO seems to be celebrating and rewarding gross incompetence, total failure and mismanagement of the company’s resources by his appointees, and I ask, WHAT KIND OF A CEO IS THIS?

It is with great urgency backed by verifiable data, facts and figures that we call for the dismissal of the CEOs of the Ghana Cocoa Board (Cocobod), Electricity Company of Ghana (ECG), Ghana Water Company Limited, and Ghana Airport Company. These individuals have presided over a period of financial decline and recklessness and have failed to fulfil their mandates of ensuring profitability and revenue generation for the state.

It is a results of this clear thievery and gross disrespect for Ghanaians, that Ghana, a country which once upon a time was revered and celebrated across the globe for its high moral standards and God-fearing nature with so much peace, economic freedom and easy access to employment has today sadly turn into a gambling country due to the bad leadership and unprecedented poor governance and management of state companies happening today and therefore we plead on behalf of all the innocent Ghanaians, for the president, Nana Addo Dankwa Akuffo-Addo, and his Attorney General to ensure that the CEOs of these entities, after being dismissed, face the law.

In conclusion, we believe that, the CEOs of the various SOEs in Ghana today are bolden and with much courage to steal, loot and deliberately collapse all state companies which are financed with the tax payer’s money solely because perhaps, the president and the presidency may only be interested in the kickbacks (if any) they receive from the CEOs ahead of the ultimate interest of the over 32 million Ghanaians reasons they have been looking on. Ladies and gentlemen, our president is directly supervising and superintending over this unprecedented thievery and unholy crime meted on Ghanaians.
United Voice for Change calls on the government to take swift and decisive action to address the issues of financial mismanagement within SOEs. The dismissal of the CEOs of Cocobod, ECG, GACL, and Ghana Water Company Limited is a necessary first step towards restoring accountability and ensuring the sustainable growth of these vital institutions.

Long Live Ghana
Long Live United Voices for Change
Thank you
…………………………
Sylvestin Ronald Antwi
Convenor
02430843

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State-owned enterprises at the mercy of looting brigades – Group wants heads to roll

State-owned enterprises at the mercy of looting brigades – Group wants heads to roll

Source: tntnewspapergh.com

 

The Convenor of United Voices for Change,Mr.Sylvestin Ronald Antwi,has organized a press conference on the current deplorable state of the Ghanaian State-Owned Enterprises(SOEs).

Making reference to what Daisaku Ikeda once said “Our voices resonate with life. Because this is so, it can touch the lives of others. The caring and compassion imbued in your voice finds passage to the listeners soul, striking his or her heart and causing it to sing out; the human voice summons something profound from deep within, and can even compel a person into action”.

Speaking to the media at True Vine hotel on Tuesday,23rd April,2024, Ronald Antwi, said
State-owned enterprises (SOEs) significantly impact the economy, often playing major roles in key sectors such as energy, agriculture, infrastructure, transportation, telecommunications among others. Explaining that SOEs performance affects economic growth, government finances, and overall investor confidence.

 

The Convenor said the United Voice for Change, as voice of reasoning, a voice of conscience and the voice for the ordinary Ghanaian, is deeply concerned about the apparent mismanagement and financial losses incurred by key SOEs in Ghana. Recent reports from the Auditor-General have revealed alarming figures showcasing the deteriorating financial health of these entities which are crucial for the country’s development and economic stability.

He said for example,, Cocobod, a vital player in Ghana’s agricultural sector, has been recording substantial losses over time. In 2017, Cocobod made a loss of GHS 161.3 million, although its revenues had increased to GHS 10.25 billion from GHS 9.15 billion in the previous year.

The company also made losses of GHS 78.22 million in 2018, GHS 320.57 million in 2019, GHS 426.32 million in 2020 and a staggering GHS 2.44 billion in losses in 2021. Meanwhile, this was a company that had made reasonable profits of GHS 329.3 million and GHS 152.15 million in 2014 and 2015 respectively.

According to Mr.Antwi,the losses which began in 2016 are ballooning by the years, reaching GHS 2.44 billion in 2021.
Also, the Ghana Water Company Limited, responsible for providing safe and reliable water services to the population, has equally faced significant challenges. A company which had made a profit of GHS 101.14 million in 2016 has been turned into a loss-making machine, registering losses of GHS 692.2 million in 2017, GHS 667.9 million in 2018 and a staggering GHS 2.6 billion in losses in 2019. In 2020, the company made losses to the tune of GHS 939 million, although its revenues in that year had increased to GHS 1.3 billion from GHS 902 million in the previous year.

Furthermore, ECG, tasked with providing electricity to the nation, has also experienced a decline in performance.

He revealed that ECG reported a loss of Gh¢1.914 billion in 2021, having made profit of GHS 181 million in the previous year.

” The company also made losses of GHS 1.47 billion and GHS 2.27 billion in 2019 and 2018 respectively. This demonstrates a clear failure of leadership and a lack of accountability within the organization.

He lamented that Ghana Airport Company is another culprit.

According to him,the company has consistently made losses since 2019. From losses of GHS 231.34 million in 2019, the losses almost doubled in 2020, reaching GHS 434.77 million. In 2021, the company’s losses were a little over GHS 252 million.

To buttress his argument,he quoted Maya Angelou ,who once said “Words are more than what is set down on paper. It takes the human voice to infuse them with deeper meaning” the increasing losses of these entities has a significant repercussion on the country’s economy.

These repercussions include but not limited to the following:
Financial Drain: When SOEs make losses, the government is required to financially support them to sustain their operations.

He said Myjoyonline’s publication on April 10, 2024, which reads “GNPC may not survive if government ceases to support corporation after 2026-IPAC”, is really disheartening. Funds that can be channelled or allocated to other critical areas such as infrastructure development, healthcare, and education is going to be used to support an SOE, which is a profit-oriented entity and was established to make profit. How did we get here?

The rest of the statement reads”increased Debt and Reduced Investment: If SOEs are unable to cover their costs and sustain operations, they may resort to adding up to the national debt, which will lead to an increase in national debt levels, and ultimately putting pressure on the country’s financial stability. Indeed, the inclusion of the indebtedness of these SoEs in Ghana’s Debt Sustainability Analysis (DSA) saw a deterioration in the country’s Debt to GDP ratio, threatening the sustainability of the country’s debt over the medium to long term. The continuous debt distress could potentially deter foreign investors from investing in the country.

Erosion of Public Confidence: Continued losses among SOEs will erode public confidence in the government’s ability to manage the economy effectively. This can lead to a loss of trust in government institutions and policies, affecting overall economic stability.

These are signs of issues with the government’s business practices, which also raises concerns about the commitment of the government towards the efficient running and sustainability of SOEs.

What is evident is that our State-Owned Enterprises are underperforming; this has drained the country’s resources and plunged the country into underdevelopment and indebtedness.

Undisputably, SOEs are profit-oriented entities and should be making profits. Sadly enough, it appears the managers of these enterprises are more loyal to their appointing authorities than to the development of the companies, leading them to deliberately run SOEs at a loss.
The increasing losses and the lack of measures to curtail it suggest a deliberate attempt by politicians to push the CEOs of these SOEs to run the enterprises into a ditch, and later engage in corrupt practices of selling off the devalued SOEs to themselves.

Also, SOEs have been an avenue for rewarding party apparatchiks. Appointments to State-Owned Enterprises in Ghana have become a means of rewarding political loyalty rather than appointing qualified individuals who are enthusiastic about working for the growth of these enterprises. SOEs are underperforming because the CEOs of these enterprises, when appointed, face pressure from politicians to do their bidding.

We cannot say SOEs are running at a loss without speaking about their leadership. The means of appointing CEOs to manage the various SOEs is terribly flawed and needs to be investigated. Ladies and gentlemen, Bad leadership and poor management of the state resources by government officials elected or appointed into high offices has today turn almost 60% of the Ghanaian girls into hookups due to the distress in the economy and the difficulties in finding employment.

The behaviour of any organization is a reflection of its leadership. You cannot take the management of SOEs away from the mess created. The leadership of these enterprises has engaged in gross mismanagement and needs to face the consequences. Issues relating to conflict of interest, procurement fraud, spending without board approval, and procurement of items that have not been planned for, as well as contracting of loans without going through the due process, are all considered fraudulent acts and must be investigated.

United Voice for Change believes that SOEs are an integral part of nation building and play a crucial role in supporting the government’s development agenda. However, the current state of affairs within these entities is unacceptable and requires immediate action especially from our president because, as the president, he (H.E. Nana Addo Dankwa Akuffo Addo) is the elected CEO of all the Ghanaian State Enterprises and therefore, his major responsibility and ultimate goal at this crucial moment, is to ensure the smooth and successful running of these companies with high returns and at worst, break-even but shockingly and surprisingly enough, H.E. Nana Akuffo Addo as the elected CEO seems to be celebrating and rewarding gross incompetence, total failure and mismanagement of the company’s resources by his appointees, and I ask, WHAT KIND OF A CEO IS THIS?

It is with great urgency backed by verifiable data, facts and figures that we call for the dismissal of the CEOs of the Ghana Cocoa Board (Cocobod), Electricity Company of Ghana (ECG), Ghana Water Company Limited, and Ghana Airport Company. These individuals have presided over a period of financial decline and recklessness and have failed to fulfil their mandates of ensuring profitability and revenue generation for the state.

It is a results of this clear thievery and gross disrespect for Ghanaians, that Ghana, a country which once upon a time was revered and celebrated across the globe for its high moral standards and God-fearing nature with so much peace, economic freedom and easy access to employment has today sadly turn into a gambling country due to the bad leadership and unprecedented poor governance and management of state companies happening today and therefore we plead on behalf of all the innocent Ghanaians, for the president, Nana Addo Dankwa Akuffo-Addo, and his Attorney General to ensure that the CEOs of these entities, after being dismissed, face the law.

In conclusion, we believe that, the CEOs of the various SOEs in Ghana today are bolden and with much courage to steal, loot and deliberately collapse all state companies which are financed with the tax payer’s money solely because perhaps, the president and the presidency may only be interested in the kickbacks (if any) they receive from the CEOs ahead of the ultimate interest of the over 32 million Ghanaians reasons they have been looking on. Ladies and gentlemen, our president is directly supervising and superintending over this unprecedented thievery and unholy crime meted on Ghanaians.
United Voice for Change calls on the government to take swift and decisive action to address the issues of financial mismanagement within SOEs. The dismissal of the CEOs of Cocobod, ECG, GACL, and Ghana Water Company Limited is a necessary first step towards restoring accountability and ensuring the sustainable growth of these vital institutions.

Long Live Ghana
Long Live United Voices for Change
Thank you
…………………………
Sylvestin Ronald Antwi
Convenor
02430843

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