Privatisation in Malta : constraints to successful implementation

Abstract

Governments all over the world have begun privatising state enterprises. Indeed, it is becoming quite hard to find a country without a programme of privatisation under way or at least on its policy agenda! Since the big expansion in the state ownership in the 1960's and 70's, the number of state-owned enterprises worldwide has been shrinking at an accelerating pace. Years of disappointing state-owned enterprises' (SOEs) performance and ineffectual attempts at reform have impelled many governments to launch privatisation programmes. Rhetoric still remains and exceeds action in many countries, but a substantial number that previously depended heavily on SOEs to meet development objectives, are now considering divesting most of their SOEs, including public utilities and formerly classified strategic enterprises.