64 COMPANIES PRIVATIZED IN ARMENIA IN 2005

Noyan Tapan
Apr 13 2006

YEREVAN, APRIL 13, NOYAN TAPAN. At the April 13 sitting, the RA
government approved that the draft law on approval of the 2005 annual
report on implementation of the state property privatization program,
which will be submitted to the National Assembly in prescribed
order. It was noted that no new program on privatization was adopted
in 2005, so under the RA Law on State Property Privatization,
the RA Law on 2001-2003 State Property Privatization Program was
in force. Taking into account that the 2001, 2002 and 2003 annual
reports on implementation of this program, as well as reports on
the 2001-2003 state property privatization program were submitted
to the RA National Assembly for consideration, the above mentioned
report includes the process of privatization carried out in the
calender year of 2005. Deputy Head of the State Property Management
Department Ashot Markosian told reporters after the sitting that
64 companies were privatized in 2005, with 37 companies being sold
through investment-oriented direct sale, while the remaining ones –
through tender. According to A. Markosian, in 2005, the state budget
revenues from privatization made 75 mln 850 thousand 21 dollars and 1
bln 310,439 mln drams (about 2.9 mln dollars). Besides, the new owners
made investments of 20 mln USD and 20 mln Russian rubles and created
3,680 jobs. The State Property Management Department filed 14 claims to
law courts for nonfulfilment of investment obligations. A. Markosian
pointed out a number of obstacles to implementation of the state
property implementation process, particularly large debts of companies
subject to privatization, as well as the fact that some of the
companies included in the program are in the process of bankruptcy
and their property is being confiscated.

From: Emil Lazarian | Ararat NewsPress