In the 2024 state budget, 4 billion UAH in revenues from privatization are envisaged

Next year, the State Property Fund aims to generate revenues of 4 billion UAH for the state budget from the sale of privatization assets.

"Today, auction commissions have already been established in the Fund to determine starting prices and sales conditions for 15 objects of large-scale privatization. In the future, sales conditions and starting prices will be approved by the Government, and only after that will auctions be announced. The Fund's task is to determine a fair starting price, incorporate benchmarks for the further development of enterprises into the conditions, and ensure transparency in conducting auctions," says Serhiy Symonov, Deputy Chairman of the State Property Fund.

In the top list of future proposals:

  • OGXK;
  • Demurinsky GZK (sanctioned asset);
  • Centrenergo;
  • OPZ;
  • Hotel Ukraine;
  • Ocean Plaza (sanctioned asset);
  • Indar;
  • Umansky Liqueur and Vodka Plant.

"Selling at least one of these assets will significantly bring us closer to achieving the revenue plan for 2024. Additionally, the entry of private investors into these enterprises is an opportunity to attract external financing for modernization and technological advancement, access new markets, improve the economic condition of assets, and have a positive impact on the country's economy as a whole," emphasizes Serhiy Symonov.

Throughout the next year, the sale of small privatization assets will continue, with plans to conduct over 300 auctions. The State Property Fund anticipates minimal revenues from small privatization in 2024 to reach 1 billion UAH.

As not all state assets have been transferred to the management of the Fund yet, it has reached out to 105 authorized bodies regarding the need to submit proposals for including these assets in the privatization list for the next year. Fourteen of them have already suggested thirty-six real estate objects. The Fund expects that there will be even more such proposals.

To recap, the auctions for the sale of small privatization assets generated nearly 3 billion UAH in revenues for the state budget in the first 10 months of 2023. In addition to these funds, the state also received an additional 0.5 billion UAH in value-added tax (VAT) and the repayment of accumulated debts by the new owners.