In August 2016, the National Agency of Investment and Privatization and the World Bank have extended a two-year agreement on attracting investors to the state-owned enterprises. This project the Agency has been implementing together with the World Bank since 2011.
“The eight companies that were identified five years ago for the pilot privatization, for various reasons were not able to attract investors. In late July, the Agency announced two international competitions to attract strategic investors for JSC Minsk Margarine Plant and JSC Baranovichi Reinforced Concrete Structures. In addition, according to the approved program of the government for the next five years, we have prepared additional companies to be included in our project. Based on experience, we have expanded our powers under the grant, in addition to the standard privatization we will use other methods for the coming of investors in the state-owned enterprises including entry through the additional emission and the creation of joint ventures, which let go beyond in the ways of investment,” said director of NAIP Natallia Nikandrava.
Under the terms of the World Bank, the companies that may be involved in this project should not be chronically unprofitable, they should have prospects for development and the number of employees of each such company must not exceed 1,000 people.
Based on these criteria, the state organizations that are interested in the arrival of strategic investors were selected. The employees of the National Agency visited more than 20 state-owned enterprises. In the coming months other companies are expected to be approved by the government. The enterprises, for which investors will be attracted, operate in the chemical, food, textile and other industries.