ABSTRACT

This chapter considers the different facets of state-owned enterprises (SOE) reforms, and the experiences, of selected countries in the regard so as to identify relevant issues and challenges faced by governments in the management of SOEs. It looks at the inherent constraints and weaknesses faced by SOEs in the countries, and the argument that SOE reforms are, at their core, issues of credible political will and commitment. Problems with SOEs in Nepal have included: inefficiency, low productivity, trade union issues, and political appointments in the management of the SOEs. Across the countries, there is generally some sensitivity around making information on the work of SOEs public. Resource allocation decisions in relation to SOEs are made sometimes without much transparent reporting. A unique feature of SOE reforms that has emerged as worthy of note is that of corporate governance in SOEs. SOEs will continue to be used by governments to meet various public policy objectives.