Omanghana
The Managing Director of the Tema Oil Refinery (TOR), Edmond Kombat, has criticized the International Monetary Fund’s historical approach to state-owned enterprises, arguing that its policy prescriptions have not adequately served developing countries.
Speaking at the Government Accountability Series press conference in Accra, Kombat challenged the emphasis on divestiture and private ownership, saying the IMF’s past recommendations “haven’t helped” developing economies.
He noted that the Fund had produced extensive assessments of Ghana’s energy sector and had traditionally favored transferring state enterprises into private hands. However, he suggested that its position appeared to be evolving.
According to Kombat, an IMF delegation that visited TOR appeared impressed with the refinery’s operational direction. He interpreted that response as a possible indication of changing views within the institution about the role and potential of state-owned businesses.
Kombat argued that public ownership does not inevitably lead to inefficiency or financial losses. He said state enterprises could operate transparently, efficiently and profitably when supported by effective leadership and sound management.
He maintained that developments under President John Dramani Mahama’s administration were demonstrating the potential of public enterprises to function as commercially viable institutions rather than remain burdens on government finances.
Despite the encouraging response he attributed to the visiting delegation, Kombat said Ghana remained “guarded” in its engagement with the IMF.
His remarks presented a case for assessing state-owned enterprises on their governance and performance, while challenging the assumption that private ownership is necessarily the best route to improving their operations.
Source: Omanghana
