Privatisation trends

For the first time since 1994, global privatization activity recorded a sharp decline in 1998. Proceeds dropped by 26% to around $114.5 billion, from an all time high of $153.8 billion in 1997. As in previous years, the bulk of privatization revenues were generated in OECD countries, some $86 billion or around 75% of global privatization revenues. Most of the activity took place among the European members of OECD. Privatization activity in non-OECD countries, still robust in 1997, was drastically reduced as the financial crisis in Asia and Russia reduced cross border investment and shook investor confidence. Proceeds were halved to $28.5 billion, reducing non-OECD share of activity to about a quarter of total. Statistical data on global privatization are presented and discussed.