Breaking news
Bulgaria cancels plans to privatize its defence industries 41404162.
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Defence & Security News - (Bulgaria)
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| Bulgaria cancels plans to privatize its defence industries | |||
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Bulgaria will not privatize its defence industries VMZ-Sopot and Kintex, after yesterday’s cabinet meeting. Based on a draft budget forecast, which was given for public debate, the two companies were put on the list for sale in 2018 and 2019 respectively.
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 VMZ-Sopot factory entrance at Sopot, Bulgaria (Photo: VMZ-Sopot) |
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The Bulgarian Privatization Agency put the firms in the list for sale, as per the standard procedure, in relation to the budget forecast proposal. However, after yesterday’s cabinet meeting, it emerged that the two companies would be included in the list of those that should remain exclusively under government’s control. The initial plan was also met with strong opposition from the socialist party, which said that it would submit a proposal to amend the Privatization Act. VMZ-Sopot is a manufacturer of munitions, anti-aircraft and anti-tank missiles and other similar products. The company has faced a series of financial problems. As a result of the country’s overall financial situation, the government was planning to use the money from the sale to fund the defence budget. Kintex was established in 1996 to trade defence equipment, systems and platforms. |
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