Small privatization: 22 billion UAH in seven years, the most popular lot – garage
19 August 13:52
For seven years of small-scale privatization through the system Prozorro.Sales in the domestic budgets of different levels received more than 21.8 billion hryvnias, which indicates the success of privatization processes even in war conditions. This was reported in the State Property Fund of Ukraine, noting that this result is successful, "Komersant Ukrainian" reports.
Record revenues to the budget
Of the total amount of UAH 21.8 billion, almost UAH 15.9 billion went to the state budget from the sale of objects by the State Property Fund of Ukraine. Another about 6 billion hryvnias went to local budgets from the sale of property of territorial communities.
“Privatization of state property has proved its effectiveness….. It shows that even relatively small objects of state property are in demand and bring a significant financial result. It is important to note that even despite the war this process does not slow down. And this means real investments in the Ukrainian economy and additional revenues to the state budget, strengthening the financial stability of Ukraine”,
– said Ivanna Smachylo, Acting Chairman of the State Property Fund of Ukraine.
Scale of auctions
Almost 7.4 thousand successful online auctions have taken place since the beginning of the reform implementation in the Prozorro.Sale system. According to the results of the auctions, the value of state and municipal property increased by 2.2 times compared to the initial price.
In total, almost 18.6 thousand participants competed for the right to purchase public property during the privatization auctions. On average, three bidders competed for state or municipal property.
Despite martial law, privatization processes in Ukraine have not stopped. During the period of martial law the organizers attracted almost UAH 11.2 billion to the state and local budgets from privatization.
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Top five most expensive objects
In the most profitable transactions of small privatization for seven years of reform included:
- Dnipro Hotel – UAH 1.1 billion.
- Kalushskaya CHPP – over UAH 800 mln.
- Kazatsky Hotel – UAH 400 mln.
- Lviv penal colony – UAH 377.5 mln.
- Ivano-Frankivsk Boiler and Welding Plant – UAH 320.2 mln.
All these objects were in state ownership, and two of them FGIU sold after the full-scale Russian invasion began.
The most popular lot
The most active competition was observed for the unfinished special garage in Kiev, where 48 participants raised the value of the asset more than 34 times compared to the initial price.
Mechanism of small privatization
Small privatization auctions have been held in the system Prozorro.Sales since 2018. At them, the state and territorial communities sell objects with a book value of up to UAH 250 million.
Large privatization as an additional tool
In parallel with small privatization, large privatization continues in Ukraine. It covers state assets with a book value of more than UAH 250 million, and auctions are also conducted exclusively through the Prozorro.Sales system.
In the year after the resumption of large privatization, auctions were held to privatize such landmark assets as the Ukraina Hotel, the United Mining and Chemical Company, the AEROK plant and Vinnitsybytkhim.
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