The establishment and functionality of government bodies responsible for implementation of privatization during the 1991–1993

Abstract

This article examines the establishment of government structures responsible for conducting privatization, as well as the rapid evolution that they underwent overt the period from 1991 to 1993. The struggle of various political forces resulted in creation of the two departments responsible for conducting privatization – the State Property Committee and the Federal Agency for State Property Management. The author elucidates the factors of their creation, analyzes the aspects of the political struggle between various Russian elite groups that influenced the structure of privatization bodies. Analysis is also conducted on the practical activity of both “privatization” bodies and the State Property Committee and the Federal Agency for State Property Management during the 1991–1993. The following conclusions were made: 1. The bodies responsible for privatization were created for political reasons, and despite the outlined objectives, were not assigned the task of effectively selling state property. 2. The State Property Committee was formed as part of I. S. Silaev’s government for engaging enterprises from the union jurisdiction to the Russian jurisdiction. 3. The Federal Agency for State Property Management was established to obstruct the government of I. S. Silaev in managing privatization; however, due to imminent resignation of this government and formation of the new Yeltsin-Gaidar government with the dominant position held by another elite group – “young reformers” – it was no longer relevant all the way until 1993.