Cabinet Economic Committee rejects Treasury's PKO BP privatization plan

The Cabinet Economic Committee (KERM) yesterday rejected the privatization plan for PKO BP, Poland's largest retail bank, presented by the Treasury Ministry. It had proposed a few different solutions but planned to leave a 51% stake of shares for the Treasury in all of them. Analysts complained that this could possibly discourage potential investors. Government acceptance of the plan is now needed in order to begin looking for a privati zation advisor, since the ministry for formal reasons canceled the previous tender in February. As a result, completion of the privatization of Poland's largest domestic bank before the end of 2002 seems unlikely. (Puls Biznesu, p. 8) M.K.