Related Articles
Forward article link
Share PDF with colleagues

Taxation, not privatisation ahead for Russia

The collapse of the Bashneft sale means Russia's government will wring more cash from producers instead

The shelving by the Kremlin of the sale of Bashneft casts doubts about the credibility of Russia's privatisation programme and puts the spotlight back on additional taxation of the energy sector. Ministry of Finance officials had been banking on the sale of a 50% stake in the oil producer, assuming it would rake in about R300bn ($4.8bn) to cover gaps in a budget caused by lower crude prices and sanctions imposed over the Ukraine conflict. The entire privatisation programme, which kicked off in July with the sale of a stake in diamond monopoly Alrosa for $0.814bn, was supposed to bring in R1 trillion ($15bn). But the sale of shipping agency Sovcomflot has also now been postponed until next y

Also in this section
Mexico's rainy-day fund
12 December 2017
The sovereign-wealth fund is a good idea—now it just needs some wealth to manage. The FMP’s executive coordinator spoke to Petroleum Economist
Qatar keeps calm, carries on
7 December 2017
The crisis is hurting the GCC as a whole, economically and politically, while the targeted country is hanging on
Energy security from east to west
6 December 2017
Oleg Budargin, Vice Chairman of the World Energy Council and former CEO of Rosseti, the biggest energy networks operator in Russia, tells World Energy Focus why it is important for countries to work together in the field of energy integration