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GSE endorses decision to offload shares of some state enterprises

By Justice Kofi Bimpeh
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The Ghana Stock Exchange, GSE has endorsed the decision by the government to offload shares of some state enterprises.

The decision according to the government will maximize profit for the various state enterprises.

Ghana Stock Exchange said the move by the government will encourage more companies to also list on the stock market to enable them to be competitive.

Speaking to Joy FM in response to government decision to offload shares of some selected state enterprises, Deputy Managing Director of the Ghana Stock Exchange Ekow Afedzie said it will allow more Ghanaians to participate in the growth of these enterprises and also impact greatly on the market.

"When you go back to history and look at the establishment of the Ghana Stock Exchange, the reason for setting it up is basically to have government privatize state enterprises through the market and this has not happened over the years only few companies are being privatize so if government officials are coming back saying that look we need to take a look at our state enterprises find out the good ones or the ones that we can make sure that they can go out there and raise capital and list on the market and allow Ghanaians to participate then that is certainly good news it can impact greatly on the market."

Gov't to offload shares of some state enterprises

Government has hinted of plans to offload part of its shares in some state enterprises.

The move according to government is part of initiatives to empower the private sector to hold a majority stake in some of the state enterprises. The government believes offloading the shares will maximize the profit of the enterprises.

In an interview with Joy FM, Chief Executive of the State Enterprises Commission Stephen Asamoah Boateng said discussions with the finance ministry are far advanced to float some of the state enterprises on the stock market.

The Chief Executive in the interview refused to disclose the possible state enterprises to be listed on the stock market.

"We are now preparing the grounds to see which ones are potentially good to float on the stock market so that Ghanaians can also buy into it, I am more relaxed in terms of getting the fundamentals right, now the new authority coming in need to get the structures going.."

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