More public organisations sign performance agreement
The establishment of the State Interests and Governance Authority (SIGA) has led to an increase in the number of public enterprises signing performance contracts and audited accounts.
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For instance, in 2016, only six out of the 175 companies signed a performance contract for their works to be monitored and tracked, while only two had audited accounts.
By last year, 79 of those organisations signed their performance contract, with 55 of them having their accounts fully audited in conformity with the country's company law.
However, the Minister of Public Enterprises, Joseph Cudjoe, reckoned that much as the figures had scaled up over the years, it represented only about half of the total companies listed, saying there was more work to be done.
He was speaking at the meet-the-press series by the Ministry of Information in Accra last Thursday on the theme: "Sustaining the improved corporate governance statures to deliver performance of specified entities."
Transition
The former State Enterprise Secretariat (SES), which was incorporated in 1965 under a Legislative Instrument (L.I. 47), had transitioned to SIGA.
The core mandate of the SES was to promote government policies and ensure the efficient and profitable operations of statutory corporations engaged in trade and industry.
SIGA, which is a centralised oversight body was established in 2019, by ACT 990, to oversee and administer the state’s interests in state-owned enterprises, joint venture companies and other state entities.
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Significance
The minister further said that signing of performance contracts was significant since it would enable the public to demand accountability from managers of state organisations about how they were handling public funds.
Quoting from a "state ownership report", the minister, who is also the Member of Parliament for Effia Constituency in the Western Region, said since President Nana Addo Dankwa Akufo-Addo took over the reins of government, signing of performance contracts had allowed SIGA to effectively monitor those establishments.
"So far, this year, 55 audited accounts have been conducted, and this could increase by the end of the year," he added.
He also said that through the effective monitoring of SIGA, the number of state-owned enterprises making profit had increased, while losses had declined.
The minister further said that as part of measures to ensure efficiency, his outfit had introduced "the public enterprises league table" to promote competition among various public enterprises to scale up performance.