Govt Looking to Sell Shares in State-Owned Firms

Peru’s government is looking at options to sell shares of various state-owned companies on the Lima Stock Exchange, state news agency Andina reported.

Deputy Minister of Economy Laura Calderon said the initiative could also help to reduce the country’s infrastructure gap and improve services in the state firms. Government officials have said recently they plan a number of road, port and airport projects aimed at closing the country’s some $30 billion infrastructure gap. Peru’s poor infrastructure could be a weight on future economic growth, economists say.

“It is also to have better financing alternatives for various investment projects,” Calderon said.  She added that selling shares could also improve corporate governance and transparency in the state firms.

Government plans to list shares of some state-owned companies on the bourse have already been announced. Petroperu, the state-owned energy company, is planning to sell up to 20 percent of its shares by the end of this year.

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