Not everything in a country can run by a government so which itself enough why we need private sectors to keep things in balance, of course government bend their rules in favour of them for whatever reasons while private sectors create job opportunities that again help someone to make money and they will spend the money they earned so that will obviously help in the development of economy in a country.
For a country to grow, there should be a private company and other things owned by a private entity so that such country will have a different way of earning money. If the government owns everything, then definitely, I’m sure the country's economy won’t grow as it is supposed to because even the employees won’t earn that much that can sustain them to cover their expenses.
But if they include the private sector, then you can see that everybody will be leaving fine in that country. But if it’s only the government, I am very sure they won’t pay people working for them a good amount of money because they will be paying less since they have many people to pay money at the end of the month or week.