SA should follow Chinese example by modernising its SOEs as current model is no longer working and can no longer be financed, Goldman Sachs MD says SOUTH Africa should follow the Chinese example by modernising its state-owned enterprises (SOEs) as its current model is no longer working and can no longer be financed, Goldman Sachs MD Colin Coleman said on Thursday.The Chinese government raised about $120bn through the flotation of state-owned companies over a 30-year period while retaining a controlling stake in them.This gave rise to a "new era of high performing companies and unleashed the infrastructure programmes so essential to Chinese growth and development", Mr Coleman said in an address to the SuperReturn Africa Private Equity & Venture Capital Conference.He urged the task team, which the African National Congress plans to establish, to investigate SOEs and consider such "radical structural surgery" as there was little doubt that unprofitable SOEs such as SAA, the Post Office...
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