A Study On The Impact Of Privatization Policy In Sierra Leone

This study assesses the impact of the implementation process of privatization policy inSierra Leone exploring the implementation process of the privatization efforts to identifythe problems that have been met in the process of privatization and to identify the prospectsof privatization policy for a developing country like Sierra Leone. In line with theobjectives the main research assumption was the policy has been implemented due to theinternal and external factors to achieve some stated goals but due to some implementationobstacles, they have not been achieved as expected. The theory of policy implementation,the concept of privatization has been chosen for the analysis of data-to compare andcontrast the Sierra Leone situation. The main findings show that due to the deterioratingconditions of the State-owned-Enterprises and the ideological shift of the new democraticgovernment with the advice and suggestions of the international donor community, thegovernment formulated and implemented the privatization policy in Sierra Leone. Therewere different actors who contributed to formulate and implement the policy. They werepolicy elites including the President, the Finance Minister, the Chairman and members ofthe National Commission for Privatization, high ranking government officials, members ofparliament, the business community and the donor agencies. However, some of the strategicgroups such as employees of the privatized enterprises and trade union representatives wereagainst the privatization. The main objectives of the policy are yet to be met in Sierra Leonedue to some implementation obstacles. Despite certain flaws regarding certain policycontent, the problems of implementation were more closely related to the process ofimplementation and other factors, such as evaluation of the enterprise, selection of bidders,lack of developed capital market, lack of investors and poor conditions of public enterprises.Although the overall impact of privatization in Sierra Leone is not very promising, it isnecessary for the overall development of the country, as the government cannot continue torun such loss-making enterprises in the age of globalization and liberalization, neverthelessit should be implemented in a cautious and selective manner.