New legislation on privatization will increase proceeds from the sale of state property, including revenues from privatization of small-scale objects, Olexandr Saienko, Minister of the Cabinet of Ministers of Ukraine, Head of the Interdepartmental Working Group on Privatization claimed.
The new law "On Privatization" adopted by the Verkhovna Rada of Ukraine stipulates for holding electronic auctions (which concerns, first and foremost, objects of small-scale privatization). "There are plenty of platforms through which you can take part in the auction, which creates competition, and we will see as a result that the proceeds from the small privatization will be increased several-fold," the Minister said. According to him, taking into account low trust in the domestic judicial system, thus the law also contains measures for large-scale privatization, for example, the possibility of using English law during the transition period.
Olexandr Saienko placed a special emphasis on the fact that transparent privatization and independent professional management will also minimize corruption risks.
"I consider privatization is an important component of the institutional fight against corruption, when we literally eliminate the areas with high-risks of corruption. Reforms implemented in previous years in the field of public procurement, energy, reimbursement of value added tax have saved billions in the state budget", Minister stressed.
While speaking about privatization of objects of large-scale privatization, Olexandr Saienko stressed that pre-privatization work of Tsentrenergo is underway, an international company is currently finalizing the assessment of assets of the enterprise.
The Minister touched upon the issue pertaining to the nomination committee for the selection of management of strategic enterprises, the work of which he coordinates on behalf of the Government. According to the Minister, until now no one knew the exact number of the state-owned companies. " At first, we figured out what these enterprises were and its activities. We created a nomination committee with international partners, and we submit proposals for the appointment of qualified managers for consideration to the Cabinet of Ministers", Olexandr Saienko emphasized.
"We divided the enterprises into several groups, the first is strategic (for example, Naftogaz), these companies will be kept in state ownership. For such companies it is of utmost importance to find qualified managers and to form the Supervisory Board, and the second group is companies that may be of interest to investors, the third group - objects that can even be liquidated. We have approved the blueprint on each group of enterprises", the Minister of the Cabinet of Ministers underscored.