Agribank chief executive officer Mr Sam Malaba said undue interference by ministers is largely responsible for the under-performance of State Entities and Parastatals (SEPs).
He said this last week while presenting on parastatal turnaround during the Public Sector Audit and Financial Management Conference. He said ministers appoint unqualified people as board members. Said Malaba:
One of the biggest challenges that parastatals face in Zimbabwe is abuse by ministers who at times may appoint people who are not qualified as board members to State-owned companies. It is expected that the (Public Entities) Corporate Governance Act will deal with some of these deficiencies. This situation is exacerbated by the fact that when the minister leaves the ministry, the board is fired and new board members are appointed.
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