NewsWhore
06-04-2008, 02:00 PM
The Dominican government has done an about-face in its privatization strategies, and now prefers to buy back, at a high cost to taxpayers, major ventures that had private partners or were privatized in the 1990s, as reported by Listin Diario. The trend is thought to have began when the Hipolito Mejia administration bought back the bankrupt Union Fenosa EdeSur and EdeNorte operations in 2003, despite much criticism. The Fernandez government has expressed an interest in purchasing EdeEste, which is currently suing the government for failing to meet contractual obligations. The government is a 50% partner in the deal.
The government has announced that it will be buying the 50% share in the Dominican Petroleum Refinery at a cost of US$110 million. The government also recently announced that it is a 30% shareholder in Air Dominicana, a new airline in partnership with Air Europa, the majority shareholder in the venture.
In 1999, the government leased 10 state-owned sugar mills to the private sector. Of those, seven were in operation. Today, only one is operating under private management, another is in the hands of the former operator, the State Sugar Council, and the others are closed, but back in the hands of the government.
Following the Baninter banking crisis, the government took over the operation of the Aster cable TV company, the RNN radio station, and several other media owned by the collapsed bank.
The president of the National Council for Private Business (CONEP, Lisandro Macarrulla has been clear in expressing his association's belief that the government should stick to its role as regulator and facilitator of business.
More... (http://www.dr1.com/index.html#6)
The government has announced that it will be buying the 50% share in the Dominican Petroleum Refinery at a cost of US$110 million. The government also recently announced that it is a 30% shareholder in Air Dominicana, a new airline in partnership with Air Europa, the majority shareholder in the venture.
In 1999, the government leased 10 state-owned sugar mills to the private sector. Of those, seven were in operation. Today, only one is operating under private management, another is in the hands of the former operator, the State Sugar Council, and the others are closed, but back in the hands of the government.
Following the Baninter banking crisis, the government took over the operation of the Aster cable TV company, the RNN radio station, and several other media owned by the collapsed bank.
The president of the National Council for Private Business (CONEP, Lisandro Macarrulla has been clear in expressing his association's belief that the government should stick to its role as regulator and facilitator of business.
More... (http://www.dr1.com/index.html#6)