Govt. to restructure SOEs instead of privatisation
- 5opn1
- November 11, 2024
- Business News
- Govt. to restructure SOEs instead of privatisation
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The new government plans to establish the right economic system giving priority to increase accountability and efficiency of public sector institutions especially State owned Enterprises (SOEs),
Prof. Anil Jayantha, Senior Advisor on Economic Affairs to the President, stated that while some SOEs have become a financial burden, the government will not privatise key institutions essential to national security and economic stability, such as electricity, transportation, state banks, and capital markets.
Instead, the new administration will restructure SOEs like SriLankan Airlines, considering transparent and budget-friendly mechanisms as state funding is insufficient. This approach follows the previous government’s decision to halt privatisation plans for the national carrier.
The government aims to reduce taxpayer burden by introducing cost-reflective pricing, aligning SOEs with strategic goals, and enhancing their financial transparency and corporate governance.
