Montenegro to privatize 11 state-owned companies

The Privatization Council, chaired by Montenegrin Prime Minister Igor Luksic, adopted Monday a privatization plan for 2012, which envisages the sale of 11 companies that are currently majority owned by the state.

Companies that will be privatized via a public tender are the following: the newspaper and publishing company Pobjeda, Montekargo-Podgorica, the flag carrier Montenegro Airlines, Kontejnerski Terminal i Generalni Tereti Bar (Container Terminal and General Cargo Bar) and the Railway Infrastructure of Montenegro.

The Montenegrin government also plans to sell Adriatic Shipyard Bijela this year, as well as Zora Dairy - Berane, the hotel group Budvanska Rivijera, Ulcinjska Rivijera, the Ferrous Metallurgy Institute in Niksic and Piva Electrode Factory in Pluzine.

As it was announced, numerous sites, business organizations and military and tourist complexes will be offered for rent, through a public-private partnership model.

In this way, the Government of Montenegro will try to rent out Ada Bojana, Ulcinj's Velika Plaza (Great Beach) and some tourist facilities on mountains Bjelasica and Komovi.

Montepranzo-Bokaprodukt from Tivat, the Montenegro Postal Service, Kumbor-based Orijenski Bataljon barracks and Mamula island will also be offered for rent.

The primary aim of the privatization process is to increase the competitiveness and efficiency of companies, encourage foreign investment and entrepreneurship in all fields, raise the employment rate and improve the living standard, reads a statement issued by the Privatization Council.