March 7th, 2008

Goverment earmarks Ft 1.25 billion to promote citizen ownership program

The government has allocated some Ft 1.25 billion (€5 million) to media campaigns to promote its “New Ownership Program,” which will allow Hungarians to buy cut-price shares in a handful of state-controlled firms, such as energy company MVM Zrt and gambling monopoly Szerencsejáték Rt, Gazdasági Rádió reports.

State asset management agency MNV Zrt has been appointed to organize four public procurement procedures to find contractors for the job, a government spokesperson announced yesterday.

Some Ft 167 million has been allocated to creative planning, organizing media campaigns and customer relations tasks, while Ft 83 million will go toward PR and event organization, and a further Ft 750 million will be spent on media planning and buying. Another Ft 250 million is allocated to the preparation and distribution of printed materials. Bids are to be submitted by April 4 and winners will be announced two weeks later.

Earlier this week, Tamás Mészáros, head of a newly created council in charge of the program, said shares would probably be available to the public from the end of this year or by early 2009. However, the final decisions on the exact timeframe and the companies involved will lie with MNV.

The council is responsible for preparing reports and studies as well as promoting public dialogue. The body is expected to outline a final proposal on the core elements of the program by the end of April.

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