Lukashenko Authorized State Property Committee in Privatization

State Property Committee of Belarus was given the right to make decisions on sales and lowering the initial selling price of shares of open joint-stock companies (JSC), state-owned and included in the privatization plan, approved by the government. The corresponding decree № 1 was signed by President of Belarus Alexander Lukashenko on March 11.

According to the document, the second and further issue of shares, not engaged in processing of agricultural products and created by transformation of the republican unitary enterprises, were accepted with the consent of the State Property Committee.

At the same time, these public companies are reported to be included in the list of legal persons, responsible for the operation of strategically important sectors of the economy or other important public needs. This list is approved by the Belarusian government in consultation with the Head of State. At the same time the second and subsequent issue of shares, created by converting municipal unitary enterprises, shall be permitted with the consent of the local executive and administrative bodies.

As explained in the Presidential Administration, granting such authority to the State Property Committee would simplify the procedure for state shares’ sale, significantly reduce the time of its implementation and make it more understandable to potential investors.

Meanwhile, in order to protect the state interests, the decree stipulates that the second and subsequent issue of shares, engaged in processing of agricultural products and created by the privatization of state property, shall be conducted in consultation with the President of Belarus.