Cabinet will make more rigorous selection of investment projects, the implementation of which will be sovereign-backed, finance minister Yuri Kolobov said during the extended meeting of the Cabinet of Ministers, ForUm correspondent reports.

"The purpose of development of public-private partnerships with attraction of foreign investors is granting sovereign-backed guarantees for specific business projects, which should become an investment impetus," he said.

Kolobov said that the main criterion for the selection of projects under the state guarantees is confirmation of their self-support or ensuring the reduction in burden on the state budget due to economic efficiency.

The priority will be given to projects, which provide for promotion of domestic producer and exporter, import substitution, energy conservation and improvement of social standards.

According to Kolobov, the government assumes that the state budget will compensate interest on borrowing partially or in full. The Cabinet allocates 2.6 billion UAH for this purpose.

The minister also noted that the state budget for 2013 provides 50 billion UAH for the provision of sovereign guarantees.


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