The law on unblocking large-scale privatization was passed in the first reading

On February 4, 2021, the Verkhovna Rada of Ukraine approved in the first reading a draft law on unblocking large-scale privatization.

Government draft lawN 4543 “On Amendments to Section V “Final and Transitional Provisions” of the Law of Ukraine “On Privatization of State and Communal Property” was supported by 284 MPs from various factions, indicating the consolidation of parliamentary forces around the idea of recovery and development of the Ukrainian economy.

In 2020, the State Property Fund proved the importance of privatization by holding about 1,900 auctions worth UAH 3 billion, which is five times more than in 2019 and ten times more than in 2018. At the same time, the cumulative effect for the economy is much greater, because according to statistics, for every UAH paid at privatization auctions, new owners spend an additional 4-6 UAH in the form of investments in asset modernization and job creation.

Such indicators were achieved due to the implementation by the Fund’s team of the principles of unprecedented openness and transparency – preparation of the maximum number of documents on assets, teasers, virtual data rooms and full access to information online.

Proving the real interest of potential investors in privatization objects, the Fund initiated an increase in the plan of privatization proceeds for 2021 to UAH 12 billion, which is a very real indicator provided that large-scale privatization auctions are unblocked.

The State Property Fund expresses its gratitude to the Ministry of Economic Development, Trade and Agriculture for the development and submission of this draft law and welcomes the decision of MPs to support it in the session hall, and hopes for its adoption in the second reading and in general.

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