‘Big Privatization’ starts this month with the goal of raising almost half a billion dollars for the Treasury by the end of this year,

Prime Minister Shmygal writes on Telegram.  This would be more than five times the $83 million raised last year. Shmygal instructed the Economy Ministry and the State Property Fund to draw up by the end of August the priority list for big state companies to be sold in 2022 and 2023. ‘Big Privatization’ describes auctions of state companies expected to sell for more than $10 million.

Yesterday the Rada approved in its first reading, a bill designed to speed up privatizations of state companies.

The bill ensures that large privatizations will now undertaken through online auctions and 10% of all funds raised from small scale privatizations will be allocated to local budgets. Dmitry Sennychenko, the Chairman of the State Property Fund, sees passage of the bill as essential for selling off most of Ukraine’s 3,000 state companies.

‘Small’ privatizations – the sale of state assets that litter Ukraine 30 years after the collapse of communism – netted the government $61 million during the first half of this year.

This is four times the amount of the same January-June period last year, the State Property Fund writes on Facebook. Increasingly popular, the sales are online, are open to bidders from across the nation and are designed to put to productive use long dormant properties, largely real estate.

Since last fall, the sale of distilleries has netted the government $55 million.

The Property Fund aims to sell 900 state properties this year, most of them are considered ‘small’ or under $10 million in value. To generate more grass roots support, the Rada is considering a bill to channel 10% of proceeds of auctions to local communities, said Dmitry Sennychenko, Director of the Property Fund.