Economy 2024-07-15T06:53:59+03:00
Ukrainian news
Cabinet Approves PrivatBank Privatization Strategy

Cabinet Approves PrivatBank Privatization Strategy

Cabinet, Cabinet of Ministers, PrivatBank, privatization, privatization strategy

The Cabinet of Ministers has approved the privatization strategy of PrivatBank.

The corresponding order was adopted at a government meeting on Wednesday, August 11, according to a procedure without discussion, Ukrainian News Agency reports.

It is noted that the main objectives of the strategy update are to create an operationally strong and competitive bank that can provide financial stability and pay dividends, as well as an attractive and viable bank for investment.

"The main goal is to define a strategy for a good bank, suitable for sale, and an approach to its privatization. Inherited problems will be concentrated in a separate subsection that will deal with non-core services, inherited portfolios and litigation," the explanatory note said.

At that, there are three possible options for privatizing the bank: private placement of the entire bank; private placement of a "good bank"; IPO (initial public offering) of a "good bank".

As Ukrainian News Agency earlier reported, in January-June 2021, PrivatBank reduced its profit by 17% to UAH 11.6 billion compared to the same period last year (UAH 14 billion).