The Greek experience of privatisation through the Hellenic Republic Asset Development Fund

Abstract

The goal of this article is to shed light on the ambiguous role of the Hellenic Republic Asset Development Fund (HRADF) and show that the privatisation program devised is inextricably linked to the bailout agreements signed between Greece and its lenders. The HRADF was established in order to carry out a vast program of privatisation in order to generate revenue and create the conditions for economic development. However, because of the pressure exercised both by the lenders and financial necessities, it has lacked to a certain extent democratic accountability and transparency. For the same reason, although constitutional limits on privatisation have indeed been recognised in theory, courts have been reluctant to block any specific privatisation. It is important to note that the creation of the new super-Fund seems to exacerbate these deficiencies by placing almost all important assets of the State under the supervision of the lenders.