The state budget received 71.8 million manat from privatization and leasing last year
The wide range of opportunities enabled by the State Service for Property Issues under the Ministry of Economy of Azerbaijan to attend the privatization of state-owned property is aimed at accelerating the process and attracting investment.
As you know, along with a number of areas, the privatization of state property also experienced some restrictions in connection with the COVID-19 pandemic in 2020. So, the privatization auctions have been suspended since March and resumed in August. Note that 47 auctions were held in 2020 resulting in privatization of 5 joint stock companies’ share package, 24 state-owned small enterprises, 2 non-residential areas, 3 uncompleted houses and 100 vehicles.
The introduction of innovations and electronic methods, further simplification of procedures led to an increase in the efficiency and satisfaction of citizens in the privatization process. Last year, 53 electronic orders were received for state-owned property put up for auction, and 5 state-owned properties were privatized through the Electronic Auction service.
In 2020, 258 lease agreements for non-residential premises were signed, and 320 lease agreements were renewed. A total of 160 lease agreements were concluded for the land plots on which enterprises and facilities are located, 4 lease agreements were extended. State budget receipts from privatization in 2020 amounted to 61.5 million manat, and the annual forecast was fulfilled by 99.2%. 10.3 million manat was paid to the budget from the lease of state property, which is 128.8% of the annual forecast.
Last year, the state budget received a total of 71.8 million manat from privatization and leasing of state-owned property, and the annual forecast was fulfilled by 102.6%. Moreover, a discount of 1,350,000 manat was applied to entrepreneurs under lease agreements on state property in accordance with the Presidential Order of the Republic of Azerbaijan dated March 19, 2020 and the Order of the Cabinet of Ministers dated April 4, 2020.