Privatisation in Lithuania: Expectations, Process, Consequences
AbstractThe primary emphasis of Lithuania’s economic transition policy has been placed on the restructuring of ownership relations. Lithuania chose one of the most ambitious methods of privatisation compared to other countries in Central and Eastern Europe, privatising two- thirds of state property. The process of privatisation, is the backbone of the Lithuanian transformation process and has a significant impact on the general economic development of the country, the creation of a competitive business environment, and the development of a system of corporate governance and securities market. The paper aims to shed light on the nature and efficiency of the privatisation process, on the emerging problems, obstacles, and results of the privatisation process. The arguments supporting the distributional model of privatisation and the socio-political preconditions and consequences are also analysed. It is argued, that the transfer from public to private ownership brings efficiency related changes in the way a company is run. Private companies are less subject to political interference, and should be more subject to the discipline of commercial and financial markets. After privatisation, problems of enterprise capitalisation and restructuring still remain. The aims of social equity and justice, promoted at the start of privatisation, were not achieved. As a new stage of privatisation (for cash) begins in Lithuania, an analysis of the first stage of privatisation should prove useful in the preparation and implementation of a new model of privatisation.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by Centre for Economic Reform and Transformation, Heriot Watt University in its series CERT Discussion Papers with number 9603.
Date of creation: 1996
Date of revision:
This paper has been announced in the following NEP Reports:
You can help add them by filling out this form.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Professor Mark Schaffer) The email address of this maintainer does not seem to be valid anymore. Please ask Professor Mark Schaffer to update the entry or send us the correct address.
If references are entirely missing, you can add them using this form.