2010 privatizations seen as partial success

Around 100 million lei was obtained in proceeds from privatization deals in 2010, despite an expected sum of 430 million lei fixed in the 2010 Budget Law, according to data from the Ministry of Economy, Info-Prim Neo reports. Three rounds of auctions were held on the Moldova Stock Exchange to sell government stocks in 54 companies, in 29 successfully. Out of 16 properties put up for investment contests 8 were privatized: 6 movie theaters and 2 commercial complexes. In traditional “outcry” auctions, only 4 objects were privatized out of 20, mostly unfinished structures. There were also privatized non-residential structures, previously rented out. However Tudor Copaci, the director of the Private Property Agency, sees a success in that the privatization process was eventually re-started in mid-2010, considering the consequences of the financial crisis which made many companies suspend their investment activity. “We are pleased that the investors got used to the schedule of privatization auctions, which take place once in two or three months. The privatization process will continue in 2011 as well”, said Tudor Copaci. Copaci also said that in 2010 the Agency audited 350 out of 500 companies in which the government own interests in order to make proper decisions concerning their privatization. Another step forward in 2010 was also the adjustment of the Law on Private-Public Partnership to the EU legislation through various amendments. “The modified legal framework allows for an effective and extensive collaboration between public and private partners in way that ensures mutual respect for the interests of and fair relations between the government, the local communities and the enterprises”, said Tudor Copaci.