Fast track
As the political storm whipped through government offices in recent weeks, so also did a wave of sell-off announcements. And more business deals appear on the way.
When former Prime Minister Jozef Oleksy fell from his post two weeks ago, many predicted dire economic consequences from the political crisis. Then, President Aleksander Kwasniewski stepped in to negotiate the nomination of Wlodzimierz Cimoszewicz to the top government spot.
Despite this turbulence, the pace of deal-making has accelerated.
The largest privatization deal was struck last week in the tobacco sector and was soon followed by a second major privatization bringing the week's total state tobacco sell-off to $547 million.
Even the Communications Ministry jumped into the act with the award of the two Global Systems Mobile licenses.
Some wary market watchers might well ask: But will it last?
Good question. The ring from state cash registers could be orchestrated to drown out the sound and fury of political wrangling.
Privatization Minister Wieslaw Kaczmarek received much-needed publicity while his post still hung in the balance. Also, the GSM sale, which has raised the ire of France Telecom and Ameritech, coincided with the political pow-wow in Davos, Switzerland. Perhaps it's just coincidence that the earlier-than-expected GSM sale to two international consortia occurred while Poland's top officials were marketing the nation's wares before an international audience.
But even if the recent after-Christmas clearance sale is politically motivated, there's new business springing up outside the capital. The $12 million Gdynia bond sale seems to be only the beginning of a series of municipal debt deals. And Warsaw's major hotels are crawling with investment bankers lusting for a piece of the action as cities hold tenders for advisers and lead managers. Due today and in the coming week are applications for multi-million dollar muni bonds in lodz and later on in Krakow. Even little ol' Radom has indicated interest in municipal-bond financing.
While much still depends on city revenue sources and how officials and advisers structure deals in their search for financing, the engines for investment are revving up across the land.
When former Prime Minister Jozef Oleksy fell from his post two weeks ago, many predicted dire economic consequences from the political crisis. Then, President Aleksander Kwasniewski stepped in to negotiate the nomination of Wlodzimierz Cimoszewicz to the top government spot.
Despite this turbulence, the pace of deal-making has accelerated.
The largest privatization deal was struck last week in the tobacco sector and was soon followed by a second major privatization bringing the week's total state tobacco sell-off to $547 million.
Even the Communications Ministry jumped into the act with the award of the two Global Systems Mobile licenses.
Some wary market watchers might well ask: But will it last?
Good question. The ring from state cash registers could be orchestrated to drown out the sound and fury of political wrangling.
Privatization Minister Wieslaw Kaczmarek received much-needed publicity while his post still hung in the balance. Also, the GSM sale, which has raised the ire of France Telecom and Ameritech, coincided with the political pow-wow in Davos, Switzerland. Perhaps it's just coincidence that the earlier-than-expected GSM sale to two international consortia occurred while Poland's top officials were marketing the nation's wares before an international audience.
But even if the recent after-Christmas clearance sale is politically motivated, there's new business springing up outside the capital. The $12 million Gdynia bond sale seems to be only the beginning of a series of municipal debt deals. And Warsaw's major hotels are crawling with investment bankers lusting for a piece of the action as cities hold tenders for advisers and lead managers. Due today and in the coming week are applications for multi-million dollar muni bonds in lodz and later on in Krakow. Even little ol' Radom has indicated interest in municipal-bond financing.
While much still depends on city revenue sources and how officials and advisers structure deals in their search for financing, the engines for investment are revving up across the land.
