SOE reforms on track: KCHL

Business

By DALE LUMA
THE reforms of State-owned enterprises are on track and will continue whether there is a change in government, according to the Kumul Consolidated Holdings Ltd (KCHL).
Managing director Isikeli Taureka told The National that the reforms were designed to “separate politics from commercial decisions”.
Taureka said the amendment to the KCHL Act was approved by the National Executive Council which meant that they could obtain a US$500 million (K1.748bil) policy-based loan from the Asian Development Bank.
“The main benefit is achieving proper governance and more independence,” he said.
He said about US$30 million (K104.8 million) would be injected into Air Niugini and the rest to paying some of the outstanding resources the State owes to the SOEs.
“So it is on track and we got another sub-programme two and three.
“And there’s another US$150 million (K524.47 million) based on certain things that we need to do.
“Some of that may involve partial private participation.
“Then another US$250 million (K874.1 million) for two years.
“The reason for the SOE reforms is to separate the political influence from the commercial decisions.”
On the sale of Datec PNG, Taureka said there were a number of interested buyers who were interested to acquire the business.

Leave a Reply