PtP Asset Classes

The PtP Project initially focused on the privatization of state-owned enterprises. However, as our research progressed, we have now identified 8 different classes of assets that have been involved in PtP transactions: (i) government-owned enterprises; (ii) other transfers of government property; (iii) enterprises required to pay royalties or fees to governments in return for access to government-regulated activities (e.g., running lotteries or extracting minerals); (iv) debt swaps in which creditors relieve debtor nations of financial obligations in return for debtor governments’ paying an equivalent amount in local currency into charitable endowments; (v) the sale or conversion of quasi-public, nonprofit, or mutual institutions to private owners; (vi) stolen assets resulting from bribes or corruption; (vii) legal penalties levied by governments for corporate malfeasance; and (viii) assets stranded in accounts without legitimate claimants.

Below is a list of the asset classes and examples of foundations resulting from each type of transaction.