81. Privatization of housing, land, small-scale privatization

В 1995 g. has begun second stage of privatization, which is characterized by transition to cash. The government assumed that potential investors would be foreign companies, Russian banking investment structures, the public and investment companies. In the process of privatization, the state and investment companies intended to increase their own budget by selling shares in order to further channel these funds into investments. The sale of shares had to take place on schedule at auctions in order for the proceeds to be made gradually. The proposed scheme was not effective, as monetary privatization proceeded slowly, and incomes were consequently not constant.

В period 1994-1996. was developed by the government monetary privatization, by conducting loans-for-shares auctions. It consisted in the fact that the shares of individual state enterprises are not subject to sale, but are transferred to trust management for a specific time. During this period, the winner of the tender has the right to manage this block of shares, based on his own risk. In the course of privatization, a large proportion of enterprises became a private form of ownership.

At the same time small privatization, especially active in 1992-1993 yyy. the sale of enterprises in the service sector, retail trade, public catering, etc.

Process privatization of housing was started in the middle 1991 g. with the publication Act on the privatization of housing in Russia, as well as in relation to its regulatory documents. According to them, citizens who lived in apartments owned by the state had the right to buy them at a certain price and acquire ownership of them. Citizens could sell apartments, rent them out, or leave them as an inheritance under a will.

At the beginning, the population was afraid to buy apartments, as they were afraid of paying high taxes on real estate, but by 1993, privatization of housing was widespread. In cities, a housing market has formed, which has become a characteristic feature of the development of a market economy.

Land privatization evoked the approval of the majority of the population of the country, but it was a difficult process. This was explained by the large scale of the agricultural sector, the high share of monopolization of agricultural processing enterprises and supply and marketing enterprises, there was no complete registration of land areas, there were no inspectors for it, etc.

Under the Law on Peasant (Private) Farming and the Law on Land Reform, peasants in 1990 were prohibited from leaving collective farms and state farms with their own share of land and assets, and, according to the amendments, it was forbidden to sell land for 10 subsequent years. It was necessary to carry out land reform. In the end December 1991. was taken resolution on the reorganization of collective farms and state farms into standard various forms of associations, most of which have been converted into partnerships, resulting in the completion of the subordination to the Ministry of Agriculture.

One of the areas of land reform was the development family farms, providing for a transition from the rental form to private management. The continuation of the land reform was the development of personal subsidiary plots, an increase in the number of land plots in garden associations, etc. During this period of time, there was a massive privatization of land plots, which contributed to the growth in the number of private land owners. Land reform in the agricultural sector of the economy was slower compared to other sectors of the economy.

Authors: Zilbertova T.N., Takhtomysova D.A.

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