Chief Executive Officer (CEO) of IMANI Africa, Franklin Cudjoe, has backed the Social Security and National Insurance Trust (SSNIT) to divest its stake in six hotels to a private investor.
According to Mr. Cudjoe, such a move makes a lot of sense, taking into account the fact that SSNIT is not able to run its hotels efficiently.
He stressed that seeking private sector participation will not only free up liquidity, but will also limit the political control in the running of SSNIT’s businesses.
This comes after Member of Parliament for North Tongu, Samuel Okudzeto Ablakwa, petitioned the Commission on Human Rights and Administrative Justice (CHRAJ) to stop the sale of Social Security and National Insurance Trust (SSNIT) hotels, which include La Palm Royal Beach Resort, Elmina Beach Resort, Ridge Royal Hotel, Busua Beach Resort and Trust Lodge Hotel to Dr. Bryan’s Rock City Hotel.
Mr. Okudzeto claims that there are significant issues with the hotel sales, such as conflicts of interest, abuse of power, infractions of the law, procurement violations, nepotism, and graft.
Meanwhile, taking to social media, Franklin Cudjoe expressed his support for the sale of the hotels, stating that any investment that will rake in more money makes sense.
“I think it is sensible for a state behemoth such as SSNIT, eternally abused by past and present politicians to scale down its real estate business, which has never been profitable.
“Similarly, SSNIT should seek private sector participation (co-investment) in wholly-owned hotels which are all not running efficiently. Not only will that free up some liquidity, but it will also amputate the long arm of the politicians, which tend to reach into the brick-and-mortar businesses over which SSNIT has control.
“That said, I will support any competitive divestiture that brings on board more money, technology, skills and preserves Ghanaian management. I think the investment plan proposed and the price agreed for the 4 hotels is fair,” he emphasized.
