Ukraine Parliament Advances Bill to Accelerate Privatization of State Assets
The Verkhovna Rada approved the first reading of legislation that would tighten transfer deadlines and let the State Property Fund seize assets to speed up privatization.
On Oct. 12, Ukraine's parliament gave its first reading to a bill designed to streamline the sale of thousands of state-owned assets. Under current rules, transfers from ministries or local bodies can linger indefinitely; the proposal imposes a 20-day deadline and permits the State Property Fund to take over assets that miss the cut-off. The draft also creates a fund-managed consulting firm that would prepare assets for sale and collect a 5% commission from buyers.
Dmytro Natalukha explained that the reforms should improve efficiency, lower preparation costs, and generate additional budget revenue. The legislation aligns with IMF and World Bank demands for continued financial support. Parliament plans a second reading shortly, hoping to pass the law by early December. The move comes as Ukraine seeks to raise about $295 million through privatization amid a severe budget shortfall and ongoing war expenditures.
Why it matters
Accelerating asset sales could provide crucial funds for Ukraine's war effort and economic stability.
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