This paper analyzes and reviews the major problems of public Enterprises (PEs) in Ethiopia with particular focus during the 1974 - 1991 periods. Their objectives, role, significance and management structures, have been surveyed. At the same time, their financial performance and financial positions have been analyzed and reviewed in view of identifying their internal and external constraints. In view of improving the PEs financial performance and efficiency, in resource allocation and utilization, the paper concludes that the PEs in Ethiopia have to be restructured in such a way that the root causes of their poor performance or inadequate performance are properly addressed


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