 Privatization speeding up
As part of its program to restructure the economy and spur economic growth the government announced plans for rapid privatization, an ambitious investment program with tax incentives for new investments and abolishment of many administrative obstacles for entrepreneurs.
The process of privatization started in 1992 with the passing of the privatization law in the Parliament. By the beginning of 1997 less than 20% of the enterprises in the Bulgarian economy were privatized, the larger part of which was privatized through mass-privatization scheme - 12%. Since the new Government took power, things have changed rapidly. Amendments in Privatization and Bankruptcy laws were adopted to accelerate privatization of attractive and liquidation of loss-making state-owned companies. Lots of world-known names were involved as privatization agents and according to Mr. Ilijan Vassilev , CEO of the Foreign Investments Agency, foreign direct investments are expected to flood into the country in the coming years as many big and attractive enterprises and banks are offered for privatization.
A second round of voucher privatization is to start at the end of this year, thus speeding the transformation of ownership into private hands.
 |
"There is a very clear decisiveness for the privatization", Zahary Zeljazkov , CEO of the Privatization Agency, shares. Alexander Boshkov, the Deputy Prime Minister and Minister of Industry gives more details: "We have opened wholly new series of procedures and methods of privatization, we have simplified and streamlined the rules for tenders and auctions. For instance using them in the Ministry of Industry we are able to sell 5-10 enterprises per day. On the other hand we transferred big state enterprises into the hands of international advisors and aid privatization agents who on a successfully bases are performing the marketing , the preparation of the privatization and are taking an active part in the negotiation process itself. We have started using our newly established stock exchange for the sale of shares of state owned enterprises".
More than 20% of the Bulgarian economy will be privatized through the help of those agents who enjoy international prestige, contacts, skilled services etc. |
BULGARIA, 
