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Kyrgyzstan to have only 30 state enterprises

The Government of Kyrgyzstan will continue to work on optimization of state-owned enterprises, as a result, there will be not more than 30 of them, and the rest will be transformed into state institutions, branches, joint — stock companies. This was stated at a working meeting with the Prime Minister Sooronbay Jeenbekov.

Total revenues of state-owned companies by the end of 2016 amounted to 74.7 billion soms, expenses — 69.1 billion.

Sooronbay Jeenbekov

«The activities of state companies were forgotten and pushed to the background with the provision of complete independence in the management to their leaders and sectoral ministries," the head of government said.

He stated that in 2016, none of the state bodies had accurate data on the number of state enterprises, their information varied and did not correspond to reality.

Chairman of the State Property Management Fund Bolsunbek Kazakov said that the analysis of the activities of state enterprises and joint-stock companies with the state share showed an urgent need in optimization of their activities.

It was found out that many enterprises are engaged in unusual for statutory purposes activities, many of them are overmanned. These are, in particular, the State Enterprise «National Company Kyrgyz Temir Zholu," State Enterprise «Chygysh Avtovokzaly," SE «Kyrgyzzhilkommunsoyuz," the report says.

In 2017, the process of collecting information in electronic format and creation of a single automated register of state property of the Kyrgyz Republic was launched. As a result, it was found out that 900 out of 1,130 registered enterprises exist only on paper.

Bolsunbek Kazakov

Up to date, the number of SE has been reduced from 1,130 to 137. The head of the government instructed the State Property Management Fund to analyze in detail each of the existing 137 state enterprises and make proposals on liquidation, corporatization, transformation into state institutions, branches, and speed up the creation of an electronic trading platform where state property will be sold and leased online, the report said.