Public Assets: What’s at Stake? An Analysis of Public Assets and their Management in the European Union

Summary:

Based on a study conducted by a private consultant, this paper sheds light on a large selection of public assets across the EU and compares their management practices. The paper shows that these assets amount to around €16.5 trillion in 2015, of which 60% are non-financial assets while the rest consists of financial assets in the form of public stakes. A large number of these stakes are in fully public, domestic and unlisted firms and consist of public services and utility providers. As regards non-financial assets, after acknowledging important data gaps, the paper provides evidence on selected fixed assets and natural resources. A review of managerial practices reveals that central governments tend to maintain control of strategic decisions for most assets - although ownership can be shared with private investors and/or local governments - and that operational decisions may be taken by local governments or public companies. Regarding investment strategies, while financial asset portfolios are being reduced, the paper indicates that public investments in some strategic non-financial assets continue. As policy implications the paper underlines the need to improve data availability as well as enhance transparency in the management of these assets.

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