Governance of Public Enterprises and Sustainable Development

Abstract

This article explores the crucial role of public enterprise governance in promoting sustainable development. It examines the theoretical foundations of governance, highlighting its evolution toward a more participatory and inclusive approach. The paper emphasizes the unique challenges faced by public enterprises, particularly the need to balance commercial objectives with public service missions.

It then addresses the concept of sustainable development, its various definitions, and its growing importance in corporate strategies. The study provides a theoretical analysis of how public enterprise governance can contribute to sustainable development through the alignment of strategies with sustainability goals, as well as through transparency, innovation, social inclusion, and the sustainable management of natural resources.

Concrete examples, particularly within the Moroccan context, illustrate how these enterprises can act as catalysts for change toward a more sustainable economy. However, persistent challenges remain, including the reconciliation of short-term objectives with long-term sustainability imperatives, political pressures, and the need for sustainability expertise within public enterprise boards.

In conclusion, public enterprises must adopt exemplary, transparent, and ethical governance practices, integrate sustainability principles into their overall strategies, and actively engage in addressing climate change and improving the quality of life of local communities. In doing so, they can reinforce their essential role in building a more sustainable and equitable future.

Classification JEL: G34

Paper type: Theorical Research