Business calls for bold steps to rationalise or shut slacking SOEs

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David Masondo told MPs recently that a ‘tough love’ approach the Treasury has adopted towards SOEs might involve the introduction of more private-sector participation

Organised business has called on President Cyril Ramaphosa to use his sixth state of the nation address Thursday to provide clear details on rationalising or closing down struggling parastatals that have been a drain on the country’s finances.

While the president has, in previous addresses and on numerous other occasions, vowed to fix state-owned enterprises , many of them, including Eskom, Transnet, the Passenger Rail Agency of SA and Denel, remain in a parlous state. Many of the entities were hollowed out at the height of the state capture project under former president Jacob Zuma...

 

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