Privatization revenues for 2002 still have a long way to go to meet targets

During the first six months of this year only three companies were privatized bringing in just 10% of projected annual revenues from privatization. This is the worst result in the history of the privatization process. Treasury Minister, Wieslaw Kaczmarek, announced that even with the poor prognosis for next year's budget, the ministry is not planning to increase privatization as a way to boost revenues. Out of the expected zl. 6.7 billion income from privatization for 2002, after six months the State Ministry managed to only receive zl. 700 million, and a large part of this was connected with deals signed in previous years. Since January the Treasury Ministry only managed to sign three significant privatization contracts. In January Animex acquired a 21.2% stake in Ekodrob for zl. 3.2 million, PSEG Poland Distribution BV, owned by the American PSEG group, bought 50% plus one share of Elektrownia Skawina for $24.8 million and in June the ministry sold 85% of shares of Cefarm Warszawa to Faramacol for zl. 93 million. (Rzeczpospolita, p. B1) A.K.