Greece public sector sell-off

Greece
has outlined plans to part-privatise a number of publicly-owned companies in an
effort to raise funds to boost government finances.

The
government plans to sell minority stakes in its state-owned rail company, the
postal service and in two water companies.

The
plans form part of the Greece’s austerity measures, designed to cut borrowing
and reduce its debts.

The
plan is expected to raise at least 1.2 billion a year.

Privatisation
plans include selling 49 per cent of its rail company OSE, which is currently
making a loss, while 39 per cent of the state postal service will also be sold.

The
government will also sell stakes in regional water companies EYATH and EYDAP of
23 per cent and 10 per cent respectively.

Further
revenue will be raised through extending the monopoly of the state’s gambling
firm, and extending its regulation of online betting.

Announcing
the plans, Greece’s finance minister George Papaconstantinou said the aim was
to protect public services but in a more sustainable manner.

The
part privatisation of parts of the Greek public sector was agreed as part of a
massive bail-out plan by the EU and the International Monetary Fund earlier
this year.