Ukraine: Two Euro 2012 stadiums for sale?

source: Kommersant.ua

Ukraine: Two Euro 2012 stadiums for sale? Quite an unusual offer may soon be on the table with new privatization law to be voted on. If it passes, numerous public companies will go on sale, among them the arenas in Kyiv and Lviv, as Kommersant-Ukraina reports.

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As Ukrainian media already have reported, new law covering privatization is to be voted on, perhaps even before the October elections. Whenever the vote is carried out, this change of legislation will allow Ukrainian governmental institutions to sell public companies.

Only strategic institutions will be unavailable and some other only for lease, like Borispol airport, the country’s largest. But other entities, like distilleries, wineries or mines are to be privatized.

Two major stadiums are on the list, awaiting potential private interest. These are Kyiv’s national stadium (Olympiysky) and Arena Lviv. Both these venues played host to Euro 2012 games and both are part of the Central Sports Complex that may become private property. Two other venues of the tournament in Kharkiv and Donetsk were built by private investors in the first place.

According to analysts quoted by the newspaper, first investors to be interested will be those from Ukraine, followed by Russian and then international buyers.

But with such a large sale of public property analysts fear that long term revenues of the country’s budget may fall significantly, despite a short-term funding injection.

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