The report by Oleh Havrylyshyn finds that, on the whole, countries that reformed rapidly performed better than those that adopted a more gradual approach. As regards privatisation, however, the efficiency of large-scale privatisation has been dependent not on the speed of the process, but on its transparency, which has been the key feature for maximising economic benefits. There is also evidence that transition countries implementing rapid reform benefited from significant development of institutions, which has also been linked to efficiency gains from privatisation.

EUROPE AND CENTRAL ASIA

Ukraine is proceeding with the sale of a majority stake in Ukrtelecom by the end of April 2008.

Serbia is continuing the last leg of its privatisation programme with announcements of new divestments through auctions that include a traffic equipment plant, Putnik Hotel and other properties. Completion of large privatisation sales expected this year include Serbia Telecom, Belgrade Airport, pharmaceutical company Galenika a.d. and the national electricity company, as well as JAT (the national airline) and NIS (the national oil company).

Romania has announced the sale of Antibiotice, a state-owned pharmaceutical company, in an auction to be held on March 18, 2008. The country’s privatisation agency has announced the sale of 283 companies this year.

Turkey has extended the deadline of the bidding for tobacco firm Tekel to February 18, 2008. The remaining 75% government-owned stake in Halkbank is also expected to be offered to investors in 2008, as is a 15% stake owned by the Treasury in fixed-line operator Turk Telecom.

Mongolia’s State Property Committee has placed Mongolia Telecom, the country’s fixed-line operator, on its list of sales for this year. Korea Telecom acquired a 40% stake in Mongolia Telecom in an earlier privatisation. The government seeks to re-acquire that stake, retain a 51% share, offer up to 10% to employees and sell the remaining share.

MIDDLE EAST AND NORTH AFRICA

Lebanon has postponed the privatisation of its mobile telephone network until the summer.

Algeria has plans to privatise 100 state-owned enterprises in the first half of this year.

EAST AND SOUTH-EAST ASIA

Indonesia plans to divest fully or partially from 37 companies in 2008, including a 40% stake in PT Adhi Karya, a construction company, as well as banks and plantation firms.

Vietnam is in the initial stages of planning the partial sale of Vietnam Airlines with foreign investor participation.

SOUTH ASIA

Pakistan extended the deadline for submitting expressions of interest for the Pakistan Machine Tool Factory to February 7, 2008.

SUB-SAHARAN AFRICA

Tanzania’s Parastatal Sector Reform Commission, set up in 1992, has formally ceased its operations, having privatised more than 350 enterprises.

This privatisation news is provided by the FDI.net Privatization Alert (www.fdi.net/privatizationalert). FDI.net is a web portal from the Multilateral Investment Guarantee Agency, a member of the World Bank Group, that offers free, on-demand country analysis and information on issues related to foreign direct investment in 175 countries.