Cabinet approves bill more than halving companies ineligible for privatization

Ukraine's Cabinet of Ministers has proposed reducing the number of companies ineligible for privatization from 1,458 to 705 in a bill approved at a cabinet meeting on Wednesday.

First Deputy Minister of Economic Development and Trade Yulia Kovaliv said that the current list was endorsed in 1999 and 497 companies from the list have been liquidated.

She said that enterprises that are left ineligible for privatization have a strategic importance for the country's defense, economy and social life. A total of 394 enterprises are proposed to corporatize with purpose of improving their management.

A total of 275 enterprises in Crimea that belong to Ukraine and are ineligible for privatization were placed to a separate attachment.

Kovaliv added that if the bill is passed, the Economic Development and Trade Ministry will quickly draw up a draft resolution on privatization of the enterprises that become eligible for privatization.

Ukrainian Prime Minister Arseniy Yatseniuk was skeptical about support of this measure by parliament.

Head of the State Property Fund Ihor Bilous asked the government to revise the procedure for transferring companies, scheduled for the privatization, to the fund from ministries and agencies. He said that the fund received only 12% of the enterprises from the list of enterprises eligible for privatization approved on May 12, 2015 due to obstructions from the middle ranking officials in ministries and agencies.