Trade minister Lucia Iipumbu has urged newly appointed board members and management at state-owned enterprises (SOEs) to focus on matters that drive economic revival. Speaking at Monday’s inauguration of board members, Iipumbu said there is no room nor time to waste on unimportant issues.
“I wish to urge the board and management to foster a good professional working relationship, as we do not have time to waste on petty issues or in-fighting, but we should rather be dedicating our energies to the developmental agenda of our country,” said Iipumbu on Monday during the inauguration of the Namibian Competition Commission (NaCC) and Namibia Estate Agents Board (NEAB) board of directors.
At the same occasion, the minister welcomed the new CEO of the Namibia Standards Institution, Eino Mvula.
Over the years, SOEs have been questioned for their roles in corruption, nepotism, mismanagement of public funds and abuse of powers. In addition, government has drawn criticism for recycling the same board members in many SOEs, who seem to rotate from one public enterprise to another.
At Monday’s event, the trade minister reiterated that good corporate governance requires credible and trustworthy institutions, built on principles of transparency and accountability. “Accountability goes beyond the mere responsibility of delivery of a task or service. It also means answerability if a service is not delivered in a timely and efficient manner – such that it becomes a burden. It is the citizens’ right but also their duty to demand it,” Iipumbu echoed. She further stated that the new appointments did not only comply with the legal requirements as contained in the Competition, Estate Agents and the Public Enterprises Governance Act but also with gender balance, tribal representation and a mixture of skills and experience.
According to Iipumbu, the performance of SOEs has a direct impact on Namibia’s competitiveness and the achievements of the country’s socio-economic development objectives. The governance of public enterprises, she said, also has an impact on fiscal costs and fiscal risks, particularly when they report significant and persistent operating losses that will need to be covered at the expense of core social programmes.
The boards are to serve for three years – from 2023-2025.