Privatization in the Ivory Coast : a status report

This report describes the privatization process in the Ivory Coast, a nation whose economic philosophy is known as "state capitalism". Specifically, the report: (1) examines the principal causes underlying the government"s decision to privatize its state corporations and sell its holdings in dozens of private companies; (2) discusses the manner in which privatization has been carried out in a number of firms; and (3) evaluates the positive and negative effects of the process. It is concluded that while the government"s original decision to privatize is still in effect, few transfers have actually been completed; privatization currently appears to be in a "holding pattern." This caution could be due to efforts to ensure Ivorian rather than foreign control of the firms, the poor economic conditions prevalent during the period, a lack of technical capability or experience with such processes, or a desire to use the transfer of assets as a political patronage resource.