Corporate governance practice and performance of state enterprises in Uganda: a case study of Uganda Broadcasting Corporation (UBC)

Abstract

This study is about the application of corporate governance principles in public Corporationsa case of Uganda Broadcasting Corporation (UBC). The governance related challenges cited in Auditor General’s reports for the financial years between 2014 to 2022 influenced this study. It should be noted that this is one of the few studies on corporate governance practices in public Corporations in Uganda. Therefore, reference is made to historical development of corporate governance codes, the underpinning theories, corporate governance codes, principles and practices around the world in already developed economies. The study goes further to look at recommendations by different reports interalia. The Cadbury report set an international record on corporate governance and it was adopted by many other countries. It became a reference for public Corporations world-wide and led to drafting of other internationally accepted codes of governance that is King report (1992), Green-burry Report (1995), Hampel Report (1998), Turnbull Report (1999), Higgs Report (2003), Smith Report (2003), King Report on Corporate Governance, UK Corporate Governance Code and the Treadway Commission in the United States. In addition, the study analyses the legal and institutional framework concerning Corporate governance of State Corporations in Uganda. It peculiarly addresses the provisions in Uganda Broadcasting Corporation and any gaps thereof which are covered through recommendations made in this study. Using in-depth interviews, questionnaires, desk research and observations in Uganda Broadcasting Corporation, this dissertation analyzes the effectiveness of corporate governance in State Corporations by reviewing the structure of UBC. This study found that low performance in Uganda Broadcasting Corporation resulted from; lack of strategic plan, too much political interference, poor accountability, abuse of laws, non-separation of roles and improper board composition among others. Finally, the study makes recommendations; key among others is policy formulation on the management of State Corporations, the amendment of Uganda Broadcasting Corporation Act, establishment of Board Charter and regulations by Government for State