The Bureau of State Enterprises (BSE) in Liberia is undergoing a significant transformation, transitioning into the State-Owned Enterprises Authority of Liberia (SEAL). This shift, marked by a stakeholder validation workshop held at the EJS Ministerial Complex in Congo Town, Monrovia, aims to modernize the governance and oversight of Liberia’s state-owned enterprises (SOEs). The current BSE, established by decree in 1985 during the interim government, is being replaced by a legally constituted authority, aligning with the Liberian Constitution and addressing long-standing concerns about the efficiency and accountability of SOEs. This transition is a key component of President Boakai’s legislative agenda, reflecting a commitment to strengthening the nation’s economic governance.
The workshop, attended by representatives from various SOEs, served as a crucial platform for reviewing and refining the draft legislative act that will establish SEAL. Cllr. Boakai N. Kanneh, Chairperson of the Law Reform Commission, emphasized the necessity of this transformation, stating that the BSE has become outdated and needs to be aligned with the current constitutional framework. The involvement of SOE representatives ensured that the draft legislation incorporated practical insights and perspectives from those directly impacted by the change, fostering a collaborative approach to enhancing the governance of these vital economic entities. The overarching goal is to improve the performance, transparency, and accountability of SOEs, contributing more effectively to Liberia’s national development.
Mr. Arthur S. Massaquoi, Director General of the BSE, highlighted the importance of this transition in aligning with President Boakai’s vision for stronger corporate governance and improved domestic resource mobilization. He stressed the need for active engagement and collaboration between the Bureau and SOE leaders, encouraging them to contribute their expertise and innovative ideas to create a robust and transparent governance system. This collaborative spirit underscores the commitment to establishing a framework that not only ensures accountability but also fosters long-term economic growth. The discussions at the workshop centered on President Boakai’s vision and the practical mechanisms needed to achieve it.
The validation workshop focused on a thorough review of the draft legislation, with participants engaging in robust discussions and proposing refinements. The key objectives of the revised act are to strengthen governance mechanisms and enhance compliance, ensuring that SEAL effectively fulfills its mandate. The scrutiny applied to the draft legislation reflects the commitment to creating a robust and effective legal framework that will guide the operations of SOEs and contribute to their improved performance. This collaborative approach ensures that the final legislation will be well-considered and effectively address the challenges facing the SOE sector.
The next stage in this transformative process involves submitting the validated draft act to the Legislature for deliberation and subsequent approval. Once enacted, SEAL will formally replace the BSE as the primary regulatory body for Liberia’s SOEs. This transition signifies a landmark shift in Liberia’s economic governance, ushering in a new era of enhanced accountability and oversight for state-owned enterprises. The establishment of SEAL represents a crucial step towards modernizing Liberia’s economic framework and ensuring the effective contribution of SOEs to the nation’s development.
The legislative act establishing SEAL derives its authority from the Liberian Constitution, specifically Chapter 10, Article 89, which empowers the Legislature to establish government entities necessary for effective governance. It also mandates the repeal of the outdated Interim National Assembly Decree No. 8 of 1985, which originally established the BSE. This alignment with the Constitution and the National Development Plan underscores the commitment to strengthening the oversight and management of SOEs. Historically, SOEs in Liberia have underperformed, contributing minimally to the national budget due to inefficiencies and a lack of effective oversight. SEAL is designed to address these historical challenges, paving the way for a more robust and productive SOE sector that effectively contributes to national economic growth.
