Privatiziation Trends: A Record Year for Initial Public Offerings in 2007

An update of the World Bank Group’s Privatization Database shows that in 2007 privatizations in developing countries amounted to US$133 billion—a record in nominal terms. The high value came from partial privatizations through initial public offerings—mainly in China and the Russian Federation and in finance and energy. The value of other privatization transactions declined overall but grew in infrastructure and the primary sector, thanks to a few large transactions in East Asia and Latin America. Preliminary results for 2008 show a sharp drop in activity as a result of the global financial crisis.