Nine firms submitted prequalification documents for the government’s property in Fujimi Cho, Chiyoda Ku, Japan worth at least P3 billion, Finance Undersecretary Gil Beltran said yesterday.
Beltran said the government is now evaluating the documents and would soon come up with a decision on who will be qualified.
“Hopefully, within the month, we will have a decision,” Beltran told reporters.
Earlier, the property attracted at least 22 bidders but only nine submitted prequalification documents last March 25. The original deadline for submitting documents was last March 4 but the government decided to give prospective bidders more time.
The government decided to extend the deadline due to the voluminous requirements for bidders.
After determining which firms are qualified, the government will then accept financial bids for the property. The bidder which is the most qualified and with the best offer will be awarded the property.
Earlier, the government successfully awarded lease and development contracts for its 764-sqm property in Naniwa Cho and the 3,014-square meter property in Obanoyama Cho both situated in Kobe, Japan to Berg Co. Ltd. of Japan.
The sale of the Fujimi property is part of government efforts to raise revenues and boost state coffers.
The Department of Finance (DOF) has set a target of P30 billion from privatization for 2008 or one third of the P90.6 billion generated last year.
Aside from Fujimi, the P30 billion includes expected revenues from the sale of the government’s stake in power distributor Manila Electric Co., and the 100-hectare Food Terminals Inc. (FTI) in Taguig.
The government has been stepping up efforts to boost state coffers and the privatization of state-owned assets has become the major source of revenues amid shortfalls in tax collections.
Fiscal authorities are stepping up efforts to improve collections. Last year, the government posted a budget deficit of P12.4 billion or way below the programmed ceiling of P63 billion.