Interests for payments in instalments

The privatisation contracts in the portfolio of the Ministry of Economy and Trade stipulating the stake purchased may be paid for in instalments will include a provision on charging interest in case the payment is made in ROL, intended to cover inflation, in addition to a 2% quota. The Government has recently enacted a decision endorsing the privatisation strategy for a number of companies in the portfolio of the former Industry and Resources Ministry. The normative act also stipulates that, in the case of those contracts where the stake sold is paid in instalments and the payment is made in foreign currency, a LIBOR interest and a margin negotiated by the two parties will be charged for every instalment. When it comes to contracts where the payment for the stake is made in full either in ROL or in foreign currency but in more than 30 days, any of the above-mentioned methods can be used. The Ministry of Economy and Trade is planning to begin procedures to put up for privatisation most of the companies in the energy and mining industry still in its portfolio this year. ZF