Sale of Capital

Pursuant to Article 27 of the Deposit Insurance Agency Law (Official Gazette of the RoS, No. 14/15), the DIA sells the shares in banks whose shareholder is the Republic of Serbia, as long as such sale procedures had been initiated before this Law came into effect, as per the law and instructions of the ministry in charge of finance.

These competencies are more specifically regulated by the Law on Securities and Other Financial Instruments Market and the Law on Takeover of Joint-Stock Companies, as well as by the Decree on the Manner and Procedure for the Sale of Shares of the Banks in the Republic of Serbia’s Ownership or in Ownership of the Banks in Bankruptcy and Liquidation where the Deposit Insurance Agency discharges the Function of Bankruptcy and Liquidation Administrator.

Operation of and privatization procedure for insurance companies are governed by the Law on Insurance while the Decree on the Procedure for the Sale of Capital of Insurance Companies by Public Tender establishes the protagonists of the activities and deadlines for implementation of the tender procedure.

According to the provisions of this Law, the Ministry of Finance launches the privatization procedure of insurance companies operating with socially- and state-owned capital and supervises this procedure, whereas the Deposit Insurance Agency organizes and carries out the procedure of privatization of socially-owned capital and of the sale of state-owned capital in insurance companies.

Also, the Law on Insurance sets forth, unless otherwise stipulated by this Law, that the provisions of the law governing privatization of socially- and state-owned capital in companies and other legal entities apply to the procedure of privatization of capital in insurance companies.