Arab Today, arab today ukraine offers huge state firms to foreign investors
Last Updated : GMT 16:58:34
Arab Today, arab today
Arab Today, arab today

Ukraine offers huge state firms to foreign investors

Arab Today, arab today

Arab Today, arab today Ukraine offers huge state firms to foreign investors

Ukraine's struggling electricity companies
Kiev - AFP

Ukraine said Thursday it would offer nearly 350 state firms for sale to foreign investors at an upcoming US conference aimed at saving the war-shattered country's imploding economy.

The huge privatisation effort -- due to kick off in October -- hopes to raise billions of dollars that could be used to plug a leaking budget and deal with the consequences of neighbouring Russia's effective economic blockade.

But foreigners have been wary of plowing cash into a country still torn by a pro-Moscow separatist crisis that has claimed the lives of more than 6,500 people and brought swathes of Ukraine's devastated industrial heartland under rebel control.

The privatisation plan has also been hurt by some ministers' refusal to hand over companies under their jurisdiction into private -- and possibly foreign -- hands.

Ukrainian Economy Minister Aivaras Abromavicius said a total of 345 government-run properties would be presented to major US and European investors Monday.

"These properties will be included in the first wave of privatisations," Abromavicius told reporters.

Ukrainian Prime Minister Arseniy Yatsenyuk said 150 chief executives had promised to visit the Washington roadshow.

- Big ambitions, bigger hurdles -

Yatsenyuk is expected to promote the potential returns of acquiring chunks of struggling electricity companies and an outdated portside plant in Odessa -- the Black Sea region now governed by former Georgian President Mikheil Saakashvili.

But economists and some of Yatsenyuk's own allies warn that this may be a terrible time for Ukraine to part with some of its largest holdings.

The economy shrank by 17.2 percent in the first three months of the year compared to the same period in 2014. Property values are collapsing and the unpredictability of the ongoing war turns standard economic forecasting into an very imprecise science.

Kiev's SigmaBleyzer venture capital firm reported a private investment decline in this year's first quarter of 25.1 percent.

Yatsenyuk seems undeterred by the data and intends to see $500 million raised by the sale of the Odessa port plant alone.

He told a tense meeting of ministers Wednesday that the government would also part with a massive but loss-making power generator called Tsentrenergo "by the end of the year."

The initial sales package also includes six regional power generation and distribution companies.

"I demand that we reach a transparent decision to privatise these assets," Yatsenyuk said.

Yet the Washington crowd will be keenly aware of Ukraine's spotty privatisation record. Most important firms have previously been hoovered up by oligarchs -- some of them based in Russia -- who offered low bids but enjoyed close powerful contacts in Kiev.

Ukraine's new pro-Western leadership has vowed to clean up its act in order to apply for EU membership by 2020.

But Yatsenyuk has been openly challenged by ministers and senior officials who oversee the very properties being advertised in the United States.

Ukrainian Energy Minister Volodymyr Demchyshyn told Yatsenyuk at Wednesday's meeting that he would not give up Tsentrenergo until "the entire power generation market has been de-monopolised."

And the head of Ukraine's state property fund said it might be wiser to let foreigners operate the Odessa port plant rather than own it outright.

"Personally, instead of selling ports, I would prefer to see them being put under public-private-ownership -- the way it is done all over the world," Igor Bilous told reporters.

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today ukraine offers huge state firms to foreign investors Arab Today, arab today ukraine offers huge state firms to foreign investors

 



Arab Today, arab today
Arab Today, arab today Jordan airline suggests flyers 'talk'

GMT 11:59 2017 Friday ,24 March

Jordan airline suggests flyers 'talk'
Arab Today, arab today 5 Crafty Must-Have Limited-Budget Ideas

GMT 17:03 2017 Saturday ,25 March

5 Crafty Must-Have Limited-Budget Ideas
Arab Today, arab today Dozens dead in US-led Syria strikes

GMT 08:35 2017 Thursday ,23 March

Dozens dead in US-led Syria strikes
Arab Today, arab today Former head of Egypt’s syndicate submits appeal

GMT 20:11 2017 Saturday ,25 March

Former head of Egypt’s syndicate submits appeal
View News in Arabic - Business: اقتصاد دولي
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Yemen children dream of school

GMT 07:25 2017 Friday ,24 March

Yemen children dream of school
Arab Today, arab today MP submits a petition to dismiss university head

GMT 06:21 2017 Friday ,24 March

MP submits a petition to dismiss university head
Arab Today, arab today Salvage of South Korea's Sewol ferry

GMT 04:51 2017 Friday ,24 March

Salvage of South Korea's Sewol ferry
Arab Today, arab today Prepares to give stargazers an eyeful

GMT 13:38 2017 Monday ,06 March

Prepares to give stargazers an eyeful
Arab Today, arab today Audi RS 5 Coupe acquires new design

GMT 13:22 2017 Thursday ,23 March

Audi RS 5 Coupe acquires new design
Arab Today, arab today Renault Trezor wins design award

GMT 11:56 2017 Tuesday ,21 March

Renault Trezor wins design award
Arab Today, arab today Actress Mervat Amin reveals her role in new series
Arab Today, arab today 2017 already marked

GMT 15:25 2017 Tuesday ,21 March

2017 already marked

GMT 06:04 2017 Thursday ,23 March

Haifa Wahby bets on her new drama show

GMT 22:00 2017 Thursday ,23 March

Number of unwedded girls amounts to 2.5m

GMT 18:57 2017 Tuesday ,21 March

Accessories designer reveals her new collection

GMT 10:34 2017 Tuesday ,21 March

Mexico threatens to ditch US corn imports

GMT 13:26 2017 Friday ,24 February

Expresses Algerian history by woody figures

GMT 20:03 2017 Saturday ,25 March

Health expert warns from dust sensitivity

GMT 07:36 2017 Wednesday ,22 March

US, Britain ban laptops on flights

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons

GMT 19:27 2017 Saturday ,11 March

Boualsof launches "Priestess Kahina" collection
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday