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. Last Updated: 07/27/2016

Parliament authorizes privatization vouchers

The Russian government's privatization plan overcame the final hurdle Thursday when parliament authorized it to begin issuing privatization vouchers to citizens by October 1.

Although the exact value of the vouchers has yet to be determined, Anatoly Chubais, deputy prime minister and chairman of the state property commission, said each voucher may be worth as much as 7, 000 to 8, 000 rubles. The amount will be determined no latter than September 1, he said.

The vouchers may be sold or used to buy shares of state-owned enterprises or mutual funds. The government will create a "mass of privatization offers" in September by turning most state enterprises into joint-stock companies, which will help limit inflation when the vouchers are issued, Chubais said.

The government's plan was threatened last week when populist and conservative deputies tried to amend the law to grant workers and managers of individual enterprises special advantages in privatizing their enterprises.

Although those amendments did not pass, the government was forced to make a concession - enterprises will consult with local branches of the state property commission on which kind of privatization they would like to conduct.