Privatization
Privatization shifts functions and responsibilities, in whole
or in part, from government to the private sector. USAID’s
involvement in privatization includes three stages:
pre-privatization (setting up the enabling environment,
public awareness campaigns, establishing an appropriate
legal and regulatory framework),
privatization (the actual transfer of assets),
and
post privatization (corporate governance and
restructuring, international accounting standards).
With more than 110 activities spread throughout the regions
in which USAID works, the emphasis in privatization is changing
from one of asset transfer to also privatizing services which
have traditionally been managed by the public sector. Examples
of such services include telecommunications, tourism, information
technology, and transportation. See
more on USAID's work with service sector liberalization and
trade.
The next generation of USAID privatization support focuses
on creative approaches to privatizing services in USAID-assisted
countries, and is expected to increase as country requirements
for technical support in pre-to-post privatization grows.
The relative success in diversifying and adapting privatization
technologies across a wide variety of economic conditions,
financial, legal and policy structures, has confirmed privatization’s
central role in strategies for building sustainable economic
growth and trade.
Read reports on USAID's
privatization work...
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