Overview
This research article investigates the state of corporate governance in Zambia’s state-owned enterprises (SOEs) using qualitative methods, including cognitive interviews with board members and managers. It finds weak and fragmented governance frameworks, extensive ministerial interference, unclear ownership roles, politically driven board appointments, and operational restrictions that undermine performance. The study highlights overlapping and sometimes conflicting statutes and codes, inadequate board independence and expertise, and the imposition of unfunded public service obligations. It emphasizes the need for transparency, harmonized legal frameworks, and professionalized board selection. The authors propose two models: a hybrid model for mixed-ownership SOEs with stakeholder-informed board composition and nomination committees, and a model for 100% state-owned SOEs that similarly relies on transparent nominations, skills diversity, and board committees. Both aim to separate powers, strengthen oversight, and protect stakeholder interests to improve SOE performance.