Privatization will become easier

Privatization will become easier. Principles of a new order of privatization.

The State Duma of the Russian Federation has adopted an important bill introduced by the Cabinet of Ministers of the Russian Federation, which touches upon the issues of the privatization process. The procedure for transferring state property to private hands will be significantly simplified. In the explanatory note, the authors give the motivation for such a decision. Simplification of the privatization procedure is designed to optimize the process of economic turnover in order to maximize profits and reduce government spending.

The Cabinet of Ministers notes that the current procedure is overly formalized for certain categories of property and delays the process of transferring low-profitable property unclaimed by the Russian Federation to private individuals. It involves first drawing up a forecast plan or program. Adding property there or changing a document takes time. Simplification of the procedure will allow for faster decision making. Therefore, the amendments suggest that part of the property not be included in the program, but privatized and sold at market value.

The bill amends the relevant federal law and was adopted by the State Duma in the final, third reading.

The following properties fall under the new law:
movable valued at less than one hundred million rubles. Exception - shares and shares in legal entities;
real estate, the value of which is less than one hundred million rubles. There are no exceptions here.
Thus, the main criterion is the cost of less than one hundred million rubles.

Principles of the new privatization procedure:
the decision is made by the Government of the Russian Federation, the Cabinet of Ministers;
the market value is taken into account, determined in accordance with the current legislation on expert assessment;
when determining the value of immovable property, the value of the land plot on which it is located is taken into account;
property is not included in the sale plan, but a special federal list is drawn up;
the procedure for compiling and changing the list, including property in it is determined by the Cabinet of Ministers of the Russian Federation. It is supposed to adopt a special by-law normative act;
division of the property complex is not allowed, the principle of unity applies.
At the end of 2021, members of the Cabinet of Ministers announced that there were big plans for privatization. According to the ministers, a new large-scale wave of the transfer of state property to private owners can significantly improve the Russian economy.

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