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Russian government enacts 2017-2019 state assets privatization plan

The government has discussed a potential privatization of VTB Bank, Russian Railways, Russian Post, according to a source familiar with the outcome of the meeting

© Dmitry Astakhov/Russian Government Press Office/TASS

MOSCOW, February 2. /TASS/. Russian government has adopted the program on privatization of state-owned assets for 2017-2019, Deputy Prime Minister Dmitry Kozak said Thursday.

"Adopted," he said when asked a respective question.

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Russian government aims to raise billions of rubles from privatization deals in 2017-2019

The government meeting headed by Prime Minister Dmitry Medvedev focused on the forecast plan and the main areas of federal property privatization for 2017-2019.

Related ministries and departments have been involved in coordination of the plan in the past months. In end-January, Economic Development Minister Maksim Oreshkin said that the Ministry had submitted its proposals on the plan of state assets privatization for 2017-2019. Earlier Oreshkin said that Sovcomflot topped the list of assets to be privatized this year. Also, the plan implies the privatization of Russia’s second-largest lender, an 8% stake in diamond producer Alrosa and state-owned stakes in Novorossiysk Commercial Sea Port in 2017-2019.

As was reported earlier head of the Russian Property Management Agency Dmitry Pristanskov said that stakes in VTB (10.9%), Sovcomflot (25% minus 1 share) and Novorossiysk Commercial Seaport (20%) had been approved for privatization in 2017.

Privatization of VTB, Russian Railways and Russian Post

Russia’s government has discussed a potential privatization of VTB Bank, Russian Railways, Russian Post and other big assets at Thursday meeting, a source familiar with the outcome of the meeting told journalists when asked which companies were mentioned in the discussion.

Read also

Ex-finance minister calls for more privatization in fuel and energy sphere

"Russian Railways, there are certain shares there, VTB was mentioned, later Russian Post," the source said, adding though that "a respective law is needed for this."

Another source confirmed the information. He also said that no additional government meetings devoted to privatization are planned, but the discussion regarding the matter is underway.

"There will be no additional government meeting, while the discussion is not over, it will continue. Of course, there are questions regarding preferred shares of Russian Railways left, regarding a number of other companies. The reform of the Russian Post needs to be continued. The discussion will always continue, particularly on big assets," the source said.

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Russian Railways VTB

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