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Arseniy Yatsenyuk: All the assets of liquidated banks should be sold through a single public platform
24.02.2016 | 16:00
INFORMATION AND COMMUNICATION DEPARTMENT OF THE SECRETARIAT OF THE CMU

Prime Minister of Ukraine Arseniy Yatsenyuk stressed the need to oblige the Deposit Guarantee Fund to sell the assets of liquidated banks only through electronic auctions and exceptionally through a single public platform. The Head of Government said at the Cabinet’s meeting on Wednesday, February 24.

The Prime Minister stressed that the Deposit Guarantee Fund is specialized government institution of public administration in the sphere of bank resolution: "That is, billions in assets of the banking sector are transferred to the Deposit Guarantee Fund. The larger the proceeds from liquidated banks, the larger sum is reimbursed to the people and legal entities who had deposits in these banks, to include reimbursement to the state".

Arseniy Yatsenyuk reminded that two months before the National Bank of Ukraine had hosted a meeting on this issue: "The National Bank shares the stance of the Government that all the assets of liquidated banks must be sold exceptionally through a single public platform."

Now the Deposit Guarantee Fund, he said, sells the proceeds of the liquidated banks at 59 different sites and, according to the Minister of Justice Pavlo Petrenko, these are not electronic platforms.

However, stressed the Head of Government, the SETAM electronic system that sells arrested assets is operating in the Ministry of Justice of Ukraine.

Arseniy Yatsenyuk offered the Government to apply to the National Bank of Ukraine on this issue: "We are ready to meet the needs of the Deposit Guarantee Fund. If the Fund experiences hardships, we can make a joint decision of the National Bank and the Cabinet of Ministers of Ukraine, and to actually oblige the Deposit Guarantee Fund to sell the assets solely through electronic auctions and exceptionally through a single public platform."

"This will give an opportunity to obtain the necessary funds after the liquidation of banks, to reimburse for more deposits, to return to legal entities more money that remained in their accounts of the liquidated banks, as well as will allow the National Bank of Ukraine to return the funds allotted by the Bank as a refinancing. This will afford to invigorate the sector in general", stressed the Head of Government.

Minister of Justice of Ukraine Pavlo Petrenko said that the Deposit Guarantee Fund is preparing to sell the assets worth UAH 47 billion.

The Head of Government stressed that these are the funds that can be returned "if we officially oblige the Fund to sell these assets". "I think that it is for the benefit of the Fund," added Arseniy Yatsenyuk.

 

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