Privatization of 13 State Enterprises May Be Cancelled in Moldova
OREANDA-NEWS. February 14, 2014. Results of the final round of the privatization of 2013, at which state-owned assets at the cost of over MDL 1 billion were offered for sale, appeared to be very modest, Vice-premier, Economy Minister of Moldova Valeriu Lazar said.
“Buyers were only local companies. We have found out that foreign investors are not interested in Moldova. As a result of the consultations, we have realized that it is rather difficult to sell large assets on regulatory markets in a pre-election year.
Because activity of major operators to a large degree depends on political factors”, Valeriu Lazar said. According to him, the privatization of 13 large public assets (Moldtelecom, Air Moldova, Red Nord, etc) have failed and within three weeks to come the government is going to decide on a destiny of the Great Privatization. At the same time, the Small Privatization will be proceeded with through organization of investment and commercial tenders, and auctions at the Stock Exchange of Moldova, etc.
The first round of privatization of public assets in 2014 is scheduled for March-April. Some new assets at the cost of USD 2-4 million are to be put for sale for the first time ever. They may be interesting for investors. “Last year public assets in Armobeton, Jolly Alon and other companies were sold. Similar assets may be invested in by investors from Moldova”, Valeriu Lazar said. In 2013, 14 public assets were privatized in Moldova. Their value totalled to MDL 112.03 million, the Ministry of Economy reports. The privatization incomes of 2014 are expected to reach MDL 240 million.
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