Azernews.Az

By Rashid Shirinov

Privatization of the state communications operators, namely Baku Telephone Communication and Aztelecom Ltd, is not on the agenda.

The statement was made by Elmir Velizadeh, Deputy Minister of Communications and High Technologies of Azerbaijan, Trend reported on July 6.

Previously, two options for the privatization of these state enterprises were considered. The first one involved a direct sale of state assets, while the second one stipulated pre-capitalization of these companies’ assets and their merger with further privatization.

The second option was the most acceptable, since the state never directly sells large companies. Therefore, it was assumed that the two companies will be combined, get additional investment and then be put for privatization as a single enterprise.

Inventory of the two companies is held annually. Enterprises have large assets as they own the most extensive telecommunications infrastructure throughout Azerbaijan and possess almost all transmission equipment in the country.

In May, the Azerbaijani president signed a decree on additional measures on improvement of state property’s privatization process. The decree prescribes the Cabinet of Ministers to prepare a new draft law “On privatization of state property” within two months.

The State Committee for Property Affairs was instructed to suspend the privatization of state property. The State Committee was also given 20 days to submit to the President the list of state property which should have been privatized but the relevant transactions were not implemented yet.

In case the transactions are already finished, the Committee should ensure rapid completion of the privatization process and submit the list of privatized state property to the President within 20 days.

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Rashid Shirinov is AzerNews’ staff journalist, follow him on Twitter: @RashidShirinov

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