The Department of Finance (DOF) has ordered two of its attached agencies to fast-track the privatization of idle properties covered by about 51,000 land titles nationwide.
In a statement Tuesday, the DOF said Finance Secretary Carlos G. Dominguez III recently asked the Privatization and Management Office (PMO) and the Philippine Deposit Insurance Corp. (PDIC) to discuss with the Commission of Audit (COA) and government financial institutions the possibility of easing stringent auditing rules covering privatization activities.
According to Dominguez, COA Circular No. 89-296 issued three decades ago that allows auction, barter, sale or transfer of idle state assets at their appraised values had “hampered rather than facilitated” their privatization.
“I want a meeting organized with the COA, mainly with the representatives from PMO, PDIC, [and] the two state banks we have. The central bank may want to participate. Tell them that this COA requirement that we sell at market value isn’t working because we just keep on adding to the titles particularly with the PDIC, and we’re just getting overwhelmed,” Dominguez was quoted by the DOF as saying during a recent executive committee meeting.
PMO head and Chief Privatization Officer Gerard L. Chan said his agency has about 28,000 land titles pending disposition.
The state-run PDIC, meanwhile, had about 23,000 land titles to dispose of, Chan added.
Dominguez asked Chan to consolidate the number of land titles and properties currently being held by the DOF, the Development Bank of the Philippines, the Land Bank of the Philippines, and other government-owned and/or -controlled corporations that will be up for privatization.