Rada approves draft law on peculiarities of privatization of state-owned banks: what it provides for
Kyiv • UNN
The Verkhovna Rada has adopted as a basis a draft law on the privatization of state-owned banks. The document expands the range of investors and updates the rules for determining the price and holding an auction in line with the World Bank's recommendations.
The Verkhovna Rada has adopted as a basis a draft law on the peculiarities of privatization of state-owned banks This is a requirement of the World Bank, so the law should be adopted in two readings in September. This was reported by UNN with reference to MP Yaroslav Zheleznyak.
The Parliament adopted #11474 on peculiarities of privatization of state-owned banks. THERE WERE 249 VOTES IN FAVOR. This is a requirement of the World Bank, so the law should be adopted in two readings in September
As the MP previously stated , the main goal of the draft law is to reduce the state's presence in the banking market.
He also spoke about the main innovations of the document:
- expands the range of potential investors to whom the state is willing to consider selling;
- allows the sale of any state share in a bank (not just 100% of the state's shares, as provided for in the current law);
- increases the requirements for legal entities that may be engaged by the state as financial advisors for sales;
- includes international donors in the selection of financial advisors for the sale and the sale itself;
- updates the rules for setting the price and conducting the auction in accordance with the World Bank's recommendations;
- takes into account the possibility that only one potential investor may participate in the auction;
- brings the requirements to the purchase and sale agreement in line with market practices;
- prevents negative influence on the sale procedure (for example, stopping the sale) by former beneficial owners (relevant for JSC Sens Bank) or current minority shareholders (relevant for JSB UKRGASBANK).
