The Greek Finance Minister said on Tuesday that Greece will create the first sovereign wealth fund to sell state assets such as real estate, ports and public facilities that were not sold during the debt crisis.
The fund, with an initial capital of 300 million euros, will invest proceeds from thousands of government asset sales in green projects, infrastructure and new technology, Finance Minister Kostis Hatzidakis said at a press conference unveiling the plan.
He added: “We appointed BlackRock to propose the best institutional structure for the fund.”
Greek privatization agency HRADF and its bank rescue fund HFSF will be absorbed by the Hellenic Asset and Participation Corporation (HCAP), which manages a range of government utilities and shares.
Hatzidakis said the funds raised more than 10 billion euros from the sale of state assets and bank stakes to help Greece reduce its debt during the 2010-2018 crisis.
HFSF, which recently fully privatized three Greek banks, plans to sell its remaining 18% stake in National Bank and 72.5% in Attica Bank by the end of the year, Hatzidakis said.
Greece will also look to modernize bus and postal services by allowing state operators to hire workers from the private sector and give them wage flexibility.
[Reuters]