Greece will speed up its privatization of real estate and other assets, the Finance Ministry said Thursday. This follows a decision by the Interministerial Privatization Committee, according to Dow Jones Newswires.
Greece plans to raise 7 billion Euros between 2011 to 2013 from privatizations, as promised to its international lenders. This will slash high budget deficits and a sizeable national debt.
Privatizations were one of many conditions imposed on the debt-laden Mediterranean state by the International Monetary Fund and the European Union for the provision of a 110 billion Euro bailout to stave off certain default.
“The government is determined to achieve its target with absolute transparency while safeguarding the public interest, promoting reforms and restructuring in sectors that can contribute to growth and competitiveness,” the Finance Ministry said in a statement.
The Ministry’s Special Secretariat for Asset Restructuring and Privatizations will immediately appoint advisors to do a quantitative and qualitative inventory of state owned real estate assets, which is intended to be complete by June of 2011.
A special purpose vehicle will be set up for the exploitation of the old Hellenikon airport. The Finance Ministry plans to take advantage of fast track investment laws for its development.
Other than quickly appointing advisors and project managers, the Ministry plans to securitize mature public real estate assets, with the resulting special purpose vehicle to be listed on the Athens Stock Exchange.
In terms of privatizing state holdings in companies, the Ministry is set to announce the appointment of legal and financial advisors soon to extend the concession for the Athens International Airport, the sale of a stake in natural gas supplier DEPA and the natural gas network operator DESFA. It will also look for a strategic investor for Hellenic Defence Systems (EAS).
The Ministry is also looking for advisors on a long list of state holdings. These include the heavily indebted railway operator Trainose, Monte Parnes Casino, water utility companies EYDAP and EYATH, and nickel miner Larco.
The state also hopes to develop marinas close to 850 regional airports to boost tourism. Greece is also looking at the sale of 11 regional airports, the unbundling of the Loan and Consignment Fund and the extension of concessions for Attiki and Egnatia motorways.
See all the latest news from Greece and the world at Greekreporter.com. Contact our newsroom to report an update or send your story, photos and videos. Follow GR on Google News and subscribe here to our daily email!
