Greece Repeals Law on State Control of Public Companies

ATHENS--Greece repealed Thursday a law obliging the state to keep a minimum stake in a number of key public companies, such as the country's ports, utilities and gambling company, paving the road for future privatizations.

"By decision of the cabinet of ministers, a legislative act has been signed that abolishes the minimum stake held by the state," the Finance Ministry said in a statement listing more than a dozen state companies including the power company Public Power Corp. SA (PPC.AT) and gambling company OPAP SA (GRKZF, OPAP.AT).

This eliminates one of the more than 70 laws and regulations that the goverment has to address in order to unblock the privatizaton program.

The country's privatization program is a key part of a broader plan put together by Greece's international creditors to slash its massive debt and help the country avoid default. Greece plans to raise some EUR19 billion ($24.01 billion) from privatizations by 2015, and some EUR50 billion over the medium term.

Earlier Thursday, the Greek privatization agency's new leadership, chairman Takis Athanasopoulos and chief executive Yannis Emiris were approved by a parliamentary committee allowing them to formally undertake their new roles.

"The EUR19 billion target by 2015 can be achieved, under the basic condition that there will be an appropriate business climate in Greece," Mr. Athanasopoulos told lawmakers.

Write to Nektaria Stamouli at [e-mail]

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