State loan: the essence and form
The system of monetary relations, in which the state acts as a lender and borrower, is called "state credit". Since the beginning of the XVII century. The Russian government used the mobilization of public finances to cover its costs. Credits were issued both on a voluntary and on a compulsory basis. In this case, real estate owned by the state served as collateral.
Types and forms of public credit (XVIII century)
At the end of the 18th century, the following types of government loans emerged:
- External and internal loans, treasury obligations.
- Loans of state-owned banks.
You should also highlight the types of banks and non-banking organizations:
- Borrowed bank.
- Commercial Bank.
- Treasury at educational homes in Moscow and St. Petersburg.
- Socially recognized orders.
The activities of the above institutions were based on accepting deposits, issuing loans on the security of estates.
Monetary policy tools
The state loan can be described as follows - the funds of the population and legal entities are temporarily attracted to the state treasury through the issuance and further sale of securities (stocks, bonds). The Russian government uses the following lending instruments to raise funds:
The essence of the state loan
A centralized loan is one in which the issue of securities is organized by the government, while a decentralized loan is organized by local authorities. It is worth noting that local loans play an important role in the financial component of regional self-government. With their help, temporarily free funds of the population are mobilized for the development needs of certain regions. In the future, this type of lending may become a significant tool for financing the development of the national economy.
Yield of government loans
State loan, depending on its prospects, is divided into the following types:
- Loans at fixed interest.
- Discount loans in which securities issued by the state are sold at a price lower than their actual value.
- Winning loans.In this case, the securities are profitable only if the given number of the bond is included in the winning repayment circulation.
A bit of history
In 1966, the release of a winning loan was organized at a rate of 3%. Bonds freely distributed by savings banks. Circulations on these bonds were held once a month, and the owners of these securities received income in the form of winnings.
The lottery holds a special place in the system of financing and crediting the state. In this case, paid tickets are distributed among the population, for which (if they win) you can get money or things. At the same time, the state receives income from their sale minus funds spent on their issuance and payment of winnings. Such a state loan has a lot of varieties: simple and numerical lotteries, monetary, real, sports and many others.