Such tendency in the transformation of the world economy and the first results of reforming the national economy bring us to the following conclusions:
. the state should significantly reduce its share in the structure of GDP shifting the responsibility for production of the major products and services as well as for investment decisions to private entrepreneurs;
. the state needs to preserve its control over natural resources monopolies and strategically important fields of economy (energy, communications, transport, military complex, part of banks);
. it is necessary to make an inventory of the state property and increase control over its utilisation;
. management of the state property needs to be transparent and accountable. Responsibility of officials entitled to state property management must increase;
. restructuring and modernisation of state enterprises should ensure competitiveness of their products;
. in order to avoid usurpation of state property by monopolist structures, merging of business with the state, formation of privileged sector in economy and penetration of crime into the sector, the state needs to change methods of privatisation. Privatisation process must be most transparent and open. It should also have a detailed legal mechanism because only legitimate privatisation can resist corruption, lead to positive economic and political results and draw support from majority of the population.
As a result of these activities the state tends to have more control over production, while giving up the role of the owner, and is turning into the guarantor of stable market environment for business activities. The state will develop laws and regulations for effective private economic activities, and will promote penetrating of these new business subjects to the market, regulate the economy mostly by economic means: monetary and crediting, financial, tax and depreciation policy.
We consider that in future it is necessary to ensure equal conditions and reliable legislative protection for all subjects of business activities irrespective of their form of property and origin of the capital. However in the transitional period when the process of structurisation is only acquiring its force, when competitive positions of the national capital at the market are not strong, small and middle businesses call for state support. To achieve this, all the flaws of the system of regulating production and commercial activities of small and middle-sized businesses are to be eliminated. At the same time, it is necessary to improve the mechanisms of their support and protection against the pressure of bureaucratic and criminal structures, introduce tax and loan privileges for setting up small enterprises, make reasonable corrections to the customs policy to support domestic producer. It is also necessary to accelerate privatisation processes in housing and communal sector, create effective mechanisms of market re-distribution of property including bankruptcy mechanism, fulfilment of pledge liabilities, transformation of financial responsibilities into proprietary responsibilities. It is necessary to simplify licensing and registration procedures for setting up small and middle-sized enterprises; limit and reduce the frequency of check-ups; simplify tax system; develop system of privileged crediting for the start-up businessmen; introduce criminal liability of the officials who have committed illegal acts against businessmen and consciously hinder legal business activities.
During privatisation we are to consider world tendencies of corporatisation of relations of private ownership, their transformation into market forms of associated property, first of all, into corporate property.
Considering the fact that the first stage of certificate - type of privatisation has been completed without tangible economic results, and has not created guarantees of social security for the people. We understand that form of corporate ownership in our country is distorted and not effective, because it is monopolised by the management corpse and stock market is not developed. Formally it is multi-subjective and there are no real possibilities to realise the rights of owners. We still believe that privatisation in the form of issuing and selling shares of companies can be the basis for private property that will provide non-reverse market transformation in the country.
We consider that strengthening of the banking system and stock market, development of market of securities will promote turning minor owners into collective investors, who, provided there is reliable state protection of rights and interests of investors, will ease social tension in the society.
Social democrats stand for the reform of land proprietary relations, that will the help establish the real owner. We support the proprietary right for the land as one of the major rights of an individual, but in the light of conditions of reforming land relations that have been established in our country, we should think about social consequences of reforms. This results in its stage-by-stage implementation. Implementation of the principle "Land belongs to those who cultivate it" calls for gradual transition from the transfer of land free of charge into ownership of land in the form of share, privatisation of the plots of land owned by households, effective utilisation of the paid rent relations as well as forming fully functional land market and introducing mortgage system into the agrarian sector of economy.
In the conditions of reforming proprietary relations in the village, the state is to provide technical and financial support to the producers of agricultural products, adhering to all norms of labour legislation and social security.