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SS3: COMMERCE - 1ST TERM

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  1. Business and Its Environment | Week 1
    2 Topics
    |
    1 Quiz
  2. Introduction to Marketing | Week 2
    6 Topics
    |
    2 Quizzes
  3. Consumer Protection | Week 3
    1 Topic
  4. Instruments for Protection | Week 4
    9 Topics
  5. Agencies that Educate and Protect Consumers | Week 5
    8 Topics
    |
    2 Quizzes
  6. Business Documents | Week 6
    3 Topics
    |
    2 Quizzes
  7. Means of Payment | Week 7
    5 Topics
    |
    1 Quiz
  8. Commercialization | Week 8
    4 Topics
  9. Privatization | Week 9
    4 Topics



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Meaning of Privatization

It is defined as the deliberate policy and action of the government of transferring the ownership, control, and management of government-owned enterprises to private individuals. Privatization goes beyond restructuring and re-organizing of public sectors but it involves the wholly or partly transferring of public enterprises to private sectors. It increases the size of the private sectors towards the emergence of a free-market economy.

According to the privatization decree of 1988, privatization was defined as the relinquishment of a part or all of the equity and other interests held by the federal government or her agency to enterprises whether wholly or partly owned by the federal military government.

Privatization may be fully or partly privatized enterprises, the government exercised an outright sale of government assets and equities held in public corporation to private sectors.

On the other part, the partly privatized companies usually emerge by the government selling a certain percentage of equity to private sector participants. In this case, the law stipulates a percentage which is 40% to investors, 40% to federal government and 20% to Nigerians.

In Nigeria, privatization is administered by the Bureau of public enterprises (BPE) to ensure proper and adequate transferring, wholly and partly of public enterprises to the private sector.

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