Russia to prioritize local investors in privatization

MOSCOW, Apr 12 (PRIME) -- Russia will prioritize local investors during privatization, Deputy Economic Minister Nikolai Podguzov said Tuesday at a forum.

The economic ministry is working on preparation of privatization, its conditions are being worked out taking into account market circumstances. The government has not yet chosen privatization agents. “We will continue this work. We will try to adhere to the priority of participation of national investors in privatization,” he said.

The ministry has held meetings with largest Russian private pension funds and discussed options of their participation in privatization.

“We have found a feedback from the point that the funds are interested in purchases of shares and have resources to do that,” he said.

“It is difficult to provide any detailed information about how actively pension funds will take part in privatization, as non-government pension funds demand stricter conditions, which are now only being worked out taking into account all circumstances and the beginning of work of an agent that the government is to choose.”

Previously, First Deputy Prime Minister Igor Shuvalov said the government was considering a large-scale privatization plan for 2016. On April 5, the Economic Development Ministry has chosen only Russian banks to organize privatization of oil company Bashneft, uncut diamond mining giant ALROSA and the country’s second largest bank VTB.

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