The first Dutch auction in Ukraine is scheduled for mid-October, the Ministry of Economic Development and Trade reported on its website.
Electronic platforms connected to the ProZorro.Sale system of electronic trading have already reported on the readiness to start trading under the new mechanism. Test procedures for Dutch auctions are now being conducted, the ministry said.
“To sell such specific collateral objects that are now in the portfolio of the [Individuals’ Deposit Guarantee] Fund, for example, land plots without a certain price or credit obligations, the “Dutch model” fits perfectly,” the ministry’s press service said citing First Deputy Minister of Economic Development and Trade Maksym Nefyodov.
As reported, Dutch auctions are different from the conventional model in that the auction lasts one day and the assets are traded with a decrease in price. In the course of trading the value of assets may fall to 20 percent of the starting price. In addition, you can register for participation in the auction on the day of auction.
