Economic Minister Mohamed Saeed announced the administration’s commitment to modernizing state-owned companies and enhancing their credibility. Speaking to local media, Saeed highlighted the administration’s strategic goals and the challenges inherited from previous governments.
Minister Saeed revealed that many state-owned companies were financially troubled when President Dr. Mohamed Muizzu’s administration took office. He specifically mentioned Fenaka Corporation, which faced billions in debt.
To address these issues, the administration plans to improve management, modernize companies, and establish international credibility. Saeed emphasized the potential involvement of international expertise to achieve these goals.
The government also plans to reform state-owned companies by dissolving unnecessary entities and merging those with similar functions to streamline operations. Significant steps have already been taken to strengthen the state fisheries company, MIFCO.
However, substantial improvements in corporate governance are needed. According to Transparency Maldives’ Governance Transparency Index, over 20 state-owned companies scored below 40% in corporate governance disclosure.
The government’s modernization strategy aims to build trust and credibility, ensuring efficient and transparent operations for state-owned companies, benefiting the local population and gaining international recognition.
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