Discussions to create SOE database
The Government is gearing to create a database on State Owned Enterprises (SOEs), a project initiated under the Ministry of Public Enterprise, Kandyan Heritage and Kandyan Development.
Officials told the Business Times this is aimed at monitoring SOEs progress. There are only 55 SOEs being monitored on their financials, business feasibilities, potential for growth etc.
Officials noted that these were monitored since 2006. According to available financial data, up to 2015 these 55 SOEs have an accumulated loss of Rs.630 billion.
Entities in sectors such as energy, water, aviation and transport, etc have shown losses. SOEs in sectors such as boards, construction, livestock (National livestock Development Board), health (Lanka Hospital’s PLC) and non-renewable energy have shown profits.
The expressions of interest called for Colombo Hilton and Grand Hyatt Colombo last October is also in limbo. The government, which owns 100 per cent of both hotels appointed two financial advisors – Lazard Asia and or MTI Consulting for their divestiture. This matter has been directed to the Ministry of Finance’s Public Enterprise Department. The Business Times was not successful in obtaining a comment from officials there as they were curt in replying by asking to contact the minister.