The Current Situation and Problems of State-Owned Enterprises in Azerbaijan
Hashimova, Kamala; Kadyrov, Zaur | December 2017
Abstract
State-Owned Enterprises (SOEs) are identified as entities that the state possesses directly or indirectly, more precisely, if the government owns more than 50.01% of shares of the companies they are considered as the SOEs (Orbis and other databases). Approximately 10% of the largest companies in the world are owned by the states. In most cases, being a state-owned firm is more favorable as the company receives advantageous treatments by the state such as discounted funding, government-supported guarantees, directly provided subsidies, favorable regulatory treatment and also being exempted from antitrust enforcement as well as insolvency regulations. In the domestic level, there can be justifications for favorable treatments by the government such as increasing economic growth, supply of public goods and services and fixing up the market fails. However, if it outstretches its boundaries then there will be a breach of market principles.
Citation
Hashimova, Kamala; Kadyrov, Zaur. 2017. The Current Situation and Problems of State-Owned Enterprises in Azerbaijan. © Center for Economic and Social Development. http://hdl.handle.net/11540/7847.Keywords
Private enterprises
Private ownership
Government
Public enterprises
Public finance
Infrastructure projects
Development projects
Financial loss
Financial & Private Sector Development
Private Sector Investments
Private Sector Participation
Private Sector Projects
Public Sector Infrastructure
Public Sector Management
Public Sector Projects
Central local government relations
Administration
Decentralization in government
Subnational governments
Government monopolies
Intergovernmental fiscal relations
Investment of public funds
Local finance
Government services
State governments
Municipal government
Bank failures
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