Africa-Press – Cape verde. All companies owned by the Cape Verdean State reduced losses by 73% in 2022, according to the new Public Business Sector Performance Report consulted today by Lusa.
The 35 companies analyzed (out of a total of 43 owned by the State) recorded a loss of 1.1 billion escudos (10.4 million euros) in 2022 compared to 4.2 billion escudos (38.5 million euros). euros) in 2021.
Business volume grew by around a third, reflecting the recovery of the economy in the post-pandemic period, with a positive impact from the activity of public companies: operating results (before interest and taxes) almost doubled.
On the other hand, the State also increased transactions for public sector companies (capitalization, guarantees, subsidies and transfers) which grew 35.8% between 2021 and 2022, for a total of seven billion escudos (63.8 million of euros).
“Companies need to take out loans under preferential conditions in order, for example, to reduce the cost of financing and, consequently, the risk for the entity granting the loan”, explains the report.
On the other hand, “due to the difficulties that some companies in the public business sector presented during the pandemic crisis and, consequently, for the resumption of their activities, the State had to guarantee the continuity of operations and their normal functioning, protecting employment and the income of families and companies”.
In the opposite direction, transactions from public companies to the State (taxes received, income from concessions and dividends) grew 11.1% in the same period, to 1.6 billion escudos (14.7 million euros).
In the risk assessment of public companies, 20 are in the “high risk” or “very high risk” categories, one more than in 2021.
The report by the State Business Monitoring Unit (UASE), dependent on the Ministry of Finance and Business Development, also analyzes, separately, the accounts of the six main public companies, which represent more than half of the sector’s turnover.
ASA – National Airport and Air Security Company recorded the highest growth in net results (265%) thanks to the post-pandemic recovery, achieving a profit of 1.5 billion escudos (12.9 million euros) in 2022.
On the opposite side, TACV – Transportes Aéreos de Cabo Verde faced expected difficulties in resuming, after the suspension of operations caused by Covid-19, worsening the loss by 50% to two billion escudos (18.6 million euros). ).
The other four companies – the pharmaceutical company Emprofac, the port company Enapor, the real estate company IFH and the state electricity company Electra – improved their results and made a profit in 2022, with the exception of the public electricity company.
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