i. To disengage government from economic or business activities in which it has no competence or in areas where the private sector is more competent.
ii. To make the enterprises and corporations more efficient by injecting private sector efficiency into them.
iii. To reduce government annual financial burden brought in the form of grants and subsidies to these unprofitable ventures and use money saved in the process of privatization to other needful sectors of the economy.
iv. To reduce government bureaucratic control which has militated against the operational efficiency of the affected public enterprises.
v. To reduce incidence of corruption in the economy. Most cases of official corrupt practices were perpetrated using public enterprises as the conduit pipes to steal public money.