Government to announce list of State sell-offs today
Parts of major companies such as Bord Gáis are expected to be put up for sale in order to comply with the terms of the EU/ECB/IMF bailout.
The bailout commits the Government to an “ambitious programme of state asset disposals” in order to pay down debt. However, the Government will also be allowed use some of the proceeds for reinvestment in job-creation programmes.
The Coalition has said it would sell only what it considered “non-strategic” assets.
Communications Minister Pat Rabbitte, for example, recently said he would consider selling the energy division of Bord Gáis, but not its natural gas network.
A minority stake in the ESB is also likely to be offered for sale, but again, its networks will be retained.
The Cabinet last night signed off on the list of assets for disposal, and how best to sell them.
Public Expenditure Minister Brendan Howlin will announce the list of assets and the proposed timeframe for their sale.
The move to sell any publicly owned asset will inevitably prove controversial following the Eircom privatisation debacle in 1999.
Meanwhile, Enda Kenny, Eamon Gilmore, and Mr Howlin met with AIB, Bank of Ireland, and Ulster Bank immediately after the Cabinet meeting.
Issues discussed included the provision of more credit to small and medium-sized enterprises and how the banks are dealing with distressed mortgage holders.
Earlier, Mr Kenny made it clear that he did not expect banks to increase variable rates on new mortgages to offset the cost of easing the debt burden on existing mortgage holders.
