NO IMMEDIATE sell-off of State assets should take place, according to the report of the review group chaired by economist Colm McCarthy.
The McCarthy report, which will be published today, was discussed by Cabinet yesterday.
It is understood to highlight the possible sale of up to €5 billion in State assets but has cautioned against immediate sales because of the prospect of them achieving poor prices. Among the assets thought to be included in the recommendations are those of the State forestry agency Coillte and Bord na Mona, airports and some parts of the major energy utility companies, ESB and Bord Gais.
However, the Government has already said it intends to retain both Bord Gais and Coillte and to merge them into a new State-owned company. The report may also recommend the sale of foreign assets held by State firms.
Minister for Transport Leo Varadkar also said this week that there are no plans in relation to the sale of the State’s three main airports at Dublin, Cork and Shannon.
The Programme for Government commits the Government to sell up to €2 billion in State assets.
The political difficulty it faces is that the programme agreed with the IMF and EU lays down as a condition that any money raised from the sale of assets must be used to pay off the national debt.
Labour Ministers are less keen than Fine Gael colleagues about any large-scale divestment of State assets to the private sector.
