SIGNIFICANCE OF PRIVATISATION PROCESS FROM THE VIEWPOINT OF INCREACE IN REVENUES (RESUME)

By Tamar Gamsaxurdia

Privatisation process in the country makes a significant contribution to the improvement of investment environment. Budget revenues can be increased only by means of attracting foreign capital and privatisation process based on the development of taxation and finance system .

The following measures are necessary for the improvement of state property management and increase of privatisation process role in the growth of budget revenues: First, creating favourable conditions both for foreign investors and new layer of proprietors and entrepreneurs that was formed due to the privatisation process; secondly, improvement of the state property management; third, restructuring of inoperative property; forth, determination of new directions of privatisation policy for the present and future; fifth, given the breach of law during the privatisation process (artificial decrease of the value of privatisation property and purchases of strategic and export-oriented objects by different clans at knock-out prices), it is necessary to reconsider privatisation results and bring up a question of de-privatisation; sixth, in enterprises with management problems and privatisation of the enterprise is not justified from the viewpoint of state interests, in this case enterprises should be transferred for temporary management for a definite period of time; seventh, we consider it necessary to simultaneously quicken the implementation process of appropriate legislative, structural and administrative changes with the purpose of achieving the above-mentioned.