Russian President Vladimir Putin’s decree on Thursday to sell stakes in state-controlled fuel and energy firms held by Rosneftegaz holding guarantees Russia’s privatization plans will go ahead, presidential press secretary Dmitry Peskov said on Thursday.
“Measures that will be taken under the decree will help stabilize the company’s passage through this period of instability in world markets, financial markets, and will guarantee a continued stage-by-stage privatization process,” Peskov said.
Putin instructed the government on Thursday to approve a program for selling Rosneftegaz’s stakes in fuel and energy companies in 2013-2015. Rosneftegaz manages state fuel and energy assets and holds 75.16 percent of state-controlled oil major Rosneft and 10.74 percent of energy giant Gazprom.
The decree aims to “continuing the privatization line to ensure necessary conditions for such a sensitive and important sector as fuel and energy,” Peskov said.
The decree takes into account that before the start of 2015 Rosneftegaz will act as a co-investor in fuel and energy firms whose assets are slated for privatization, Peskov said.
“Some energy assets in the conditions of quite turbulent global market developments will receive funds, which they will use to continue their investment programs,” he said. Once the construction of infrastructure facilities was over, these assets would be sold on the market, he added.
Privatization of Russia’s state assets is seen as key to attracting foreign capital and modernizing the domestic economy, which the government says is currently over-reliant to raw material exports.