Media Wire Express Correspondent
The government is setting out strategies to strengthen the competitiveness of state-owned enterprises.
This was said by Minister in President’s Office (Planning and Investment) Professor Kitila Mkumbo when closing a meeting between the Treasury Registrar office and the Board of Directors of the companies which the government has minority shares at the Mwalimu Julius Nyerere Leadership School in Kibaha Town over the weekend.
“The government intends to make state-owned enterprises operate as corporate institutions and be able to compete in the world market,” he said.
“At the moment, we are working to review policies for public companies and those where the government has minority shares, to have a Proper Legal Framework which will be more suitable in operating them. This will help in solving the tendency of rigidity, bureaucracy, and hierarchy, making competition difficult,” he said.
Prof Mkumbo said it was high time for the government-owned institutions to learn to be independent and in this he called for private companies to be ready to share their experiences with the public entities.
“President Samia Suluhu Hassan has great belief that both public entities and those which the government has minority shares have great responsibility in building the nation’s economy and this will be possible if the two sides keep working closely together,” he noted.
Earlier, the Director of Administration and Human Resources from the Treasury Registrar Office, Mr Amon Nnko presented some of the suggestions reached during the meeting including conducting pretrainings for board members immediately after being appointed. In addition to that, there will also be annual strategic meetings as well as sectoral meetings as part of enhancing work efficiency.
Opening the meeting last week, Chief Secretary, Dr Moses Kusiluka assured companies where the government owns minority shares that it will continue to value and support their contribution to the country’s economy and development.
Dr Kusiluka said that apart from enterprises that are wholly owned by the government, there are companies where the government owns less than 51 per cent stake.
These entities, he said, have been instrumental and the government pays attention to their performance.
“Bringing the Board of Directors and their Chief Executive Officers of the companies which the government has minority shares in one room with the Treasury Registrar is a good continuation in upholding the value of partnership and cooperation between the government and the investors. “This proves that Tanzania’s development is a shared commitment for both public and private sector,” he stated.
He went on to say that the focus of the government is to create a favourable environment for the economy to grow for the benefit of the country at large.
“For President Samia, this meeting, the one of its kind since we attained independence, does not only support her vision but will also act as a catalyst on how best private investments can work with the government for more positive outcomes,” he added.
Expounding, he said that the meeting was taking place during a period when President Samia and the sixth phase government mark three years in office.
“Throughout all this time, the president has been leading the country by using 4Rs philosophy, which represents Reconciliation, Resilience, Reforms and Rebuilding.
“Based on the 4Rs as presented by the president, we are delighted to see the Office of the Treasury Registrar supporting her with reforms and rebuilding. We have been following keenly the push for reforms around the State Owned Entities (SOEs) and all Public and Statutory Cooperations (PSCs) in the country. These reforms are paramount towards rebuilding our economy,” he said.
The government through the President’s Office– (Planning and Investment) has submitted a Bill to the National Assembly to form the new Public Investment Authority (PIA)
“In addition to that, through the Public Investment Authority, we expect to form a Public Investment Fund (PIF) which will cater for all capital requirements, where the government has shares and representation,” he explained.
Source:Daily News
