Slow Privatization Proceeds

In 2015 in Azerbaijan there were privatized 685 small enterprises and facilities (including vehicles). This was reported at the 18 January meeting of the Board of the State Committee for Property Affairs, the agency stated.

Last year land for 456 privatized enterprises and private entities was also sold. Stakes in 20 JSC were sold from cash auctions, and 5 JSC were sold by investment competitions.

Although the SCPA report does not say anything about it, it is well known that the privatization of state property in Azerbaijan is carried out on the unrivaled basis. All items are sold at a starting price. SCPA does not provide information about the proceeds from privatization in 2015.

Overall, the privatization process slowed down in 2015. The number of sold small enterprises and facilities decreased compared to 2014 by 11%, land – by 30%, and JSC shares – by 40%.

By the decree on the application of the law of Azerbaijan Republic On State Budget for 2016, the head of state instructed SCPA to speed up the privatization process. And at a meeting on January 18, President Ilham Aliyev instructed the government to prepare a new program of state property privatization. -----08D