Sweden prepares a wave of privatization

By Ivar Ekman



STOCKHOLM — With a new center- right government that is determined to get the state out of businesses like banking, telephones and Absolut vodka, it can seem as if the only things missing in Sweden these days are "For Sale" signs at major border crossings.

About 150 billion kronor, or $21 billion, worth of state-owned assets is going on the block in the coming three years after the presentation of an enabling law last week in Parliament.

And even more sell-offs are likely in what is probably the biggest process of privatization in Swedish history.

"We close no doors; we keep all options open," said Mats Odell, the minister in charge of the sale. "The only requirement is that it makes business sense."

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http://www.nytimes.com/2007/03/05/business/worldbusiness/05iht-private.4807230.html?_r=3

Never hear the opposite, 'run business like government'. Oh well, sell off that hard earned public infrastructure at fire sale prices...then pay for those services at inflated rates. What a con.

Nordea (my bank, btw) only had government a small government stake , dating from our financial crisis in 1992, it was always majority private

btw, US banks are not allowed to run commercial thrift operations here, which I find one of the smarter things we have done

Selling Absolut was a shit deal, as we used to profit a billion euros a year profit into our coffers, nd sold it for 5 billion (around 8 billion US), so now, after 2012, we will no longer be ahead on this one.

The government only sold a small portion Telia (my cell phone company).

Vasakronan (commercial real estate) was sold, right before the 2008 crash, to our State Pension Funds.

OMX (Stock Exchanges), again we only had a 6% stake, and what we sold for was a great deal, as the 2008 crash would have reduced our worth by 2/3rds

SBAB (mortgage lender) not sold yet, as my party (the Greens) blocked it, along with other sales
http://in.reuters.com/article/2011/03/01/sweden-privatisation-idINLDE71R1FT20110301


Sweden will post a budget surplus of 18 billion kronor this year and a 78 billion-krona surplus in 2012, btw.

Congress would be forced repeal the unified budget act and stop looting of the SS fund. Subsequently, they would be compelled to find a way to return the $2.6 trillion that has been misappropriated from American workers.

A fraudulent government is no better than a fraudulent business.

See any recession? Jump in prices, so the business class can skim profits? Increase in private money in influencing politics?

Sweden will post a national budget surplus of 18 billion kronor this year and a 78 billion krona surplus in 2012, we had the highest GDP growth since 1970 last quarter, our unemployment is under 6.8% (measured how you do your U6 which is 16%) and is on track to go under 5% by end of 2012. Our currency, the krona is also up around 30% versus the US dollar over the last 6 or 7 months.

Things tend to work as compromise here, and overall, we have really came out of the crisis better than any other EU country. Anders Borg, our financial minister, is the most popular politician in Sweden, atm.

We also have 81% unionization rate, and ban USA banks from thrift operations here, which really helps.

OMX (stock markets) small stake was sold (Sweden owned a very small share)

Nordea (my bank) was partially state owned (around 20%) dating back from our financial crisis of 1992, and a small portion (6%) of this was sold off, and used to retire debt

Absolut was a shit deal, in the long run (the only truly bad one) as we sold it for $8 billion US, but it put $1 billion a year US profit in the state coffers, so after 2016, it is break even, then a loss of that revenue stream (but this is mitigated in that the money from the sale was used to build many new health care centers, and expand schools)

Vasakronan (commercial real estate) was sold to our State Pension Funds in 2008, right before the crash. It is a wash, because it is still owned by a quango.

TeliaSonera (my phone company) is 37% state owned, and sale has been blocked by my party, the Greens.

SBAB (mortgage lender) sale blocked by Greens http://in.reuters.com/article/2011/03/01/sweden-privatisation-idINLDE71R1FT20110301

The ironic thing is that by gaining seats in Parliament, the horrid right wing Sweden Democrats actually blocked the center-right Alliance of Reinfeldt from a majority, so the Greens can block a lot.