One of the frequently asked questions about privatization has been on the benefits of the programme to Sierra Leone. Privatization is not a cure-all or panacea for the economy of the country. It is part of the broader economic reform policy. The Benefits of having the National Commission for Privatization (NCP) in terms of economic development are:
- The NCP would develop policies that aim at strengthening the role of the private sector in the economy.
- NCP Privatization Policy stems from recognition on the part of Government of the need to improve efficiency in the delivery of services and to create further opportunities for the growth of the private sector.
- It is also in line with Sierra Leone’s long-term policy of diversifying the economy away from minerals and Government.
- Removes the fiscal burden on Government of Sierra Leone (GoSL) of loss making Public Enterprises.
We believe that if the NCP is given the support and there is a strong political will, there is bound to be economic benefit associated with the improvement in the performance of the loss making public enterprises which constitutes about 70% of the Sierra Leone economy.
- NCP is developing laws that would improve competition and increase productivity in the market place that would lead to better service delivery, affordable prices and improved overall performance of the economy.
- It is the view of the NCP that if the private sector can adequately develop through private sector participation and take up the challenge of driving the economy, it
- would mean less government involvement in the delivery of goods and services, which would give government more time to deal with its core activities of formulating legislative, policy and regulatory frameworks to safeguard the interests of both the business community and consumers.
- With NCP, public entities which relied heavily on government subventions for sustenance, would no longer have to source revenue from government and would instead start paying tax to government. With more revenue available for spending, government would be better placed to provide the public with such amenities as health; education, water, housing and social security. These are just some of the various benefits that can be derived from privatization.
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