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My name is Mathias Nehm, I'm the director of Indecon Consulting, a consulting firm based in Berlin, Germany.
About the law:
The new Law seems to me to be very comprehensive, perhaps too detailed in some aspects.
I think it provides the necessary legal certainty for both the seller and the buyer. I think that with the new Law, both domestic and foreign investors will increasingly participate in privatisation opportunities.
At this point, I would like to highlight some aspects of the Law that are of particular importance to me:
- Transparency:
The new Law requires extensive transparency for all aspects and phases of the privatisation process. This will prevent corruption and build investor confidence.
- Centralisation of the process in a single authority:
The Law provides for the privatisation process to be centralised in a single authority with clearly defined rights and obligations. This allows privatisation to be carried out with a high degree of transparency.
- Decentralisation of the privatisation of republican and municipal property.
- Valuation by external experts:
The Law provides for separating the responsibility for the implementation of the privatisation process from the valuation of the state property to be privatised.
- Privatisation procedures:
The Law provides for several privatisation procedures that can be applied depending on the type and condition of the state assets to be privatised. This increases the chances of success.
- Buyer requirements:
The requirements for the buyer set out in Chapter 6 of the Law are an important prerequisite for a sustainable privatisation.
- Contractual Provisions.
- Non-fulfilment or untimely fulfilment of obligations:
In my view, this provision represents an important reversal of previous positions and has been repeatedly emphasised by us in our consultations. The new regulation puts the emphasis on the initiation of a negotiation procedure in the event of the buyer's failure to comply with the terms of the contract.
I wish you every success in implementing the new Law and in the upcoming privatisation.
