Highlight any four reasons why a government may set up parastatals to supply essential goods to its people

Why government sets up parastatals to provide essential services

• Prevent exploitation of the public by private businessmen
• Provide goods and services that private enterpreneurs are unwilling to venture due to low profits involved
• Provide large amount of capital(initial) where private organisation are not able to finance
• Provide essential goods and services that are too sensitive to be left in the hands of a private sector
• Stimulate economic development of the country by providing the essential social overhead capital
• Establish monopolies in areas of interest where high profits are involved