(Adds background on privatisation drive)

KIEV, March 31 (Reuters) - Ukraine’s government will consider a list of state-owned assets for privatisation later on Tuesday, the economy minister said at a briefing, as part of Kiev’s drive to boost the budget and reform inefficient institutions.

Until now, the law made some 1,500 state firms ineligible for privatisation, but the government has recommended abolishing this rule for 1,200 of them in an effort to stamp out graft and raise funds to shore up a near-bankrupt economy reliant on international aid.

“We will submit a list of businesses for privatisation. After this, the list should go to parliament (for approval),” the minister, Aivaras Abromavicius, said.

He implied chemical business Odessa Port Plant, which produces ammonia and urea, and power generator Tsentrenergo would be on the list.

They “are not strategic. And of course it is these types of businesses that we must put up for sale, particularly as there is serious demand for them from investors,” he said.

An earlier government privatisation bill was rejected by parliament in January after deputies criticised the proposed plans as too extensive.