LEGAL COMPONENT OF MUTUAL CREDIT SOCIETIES IN THE DEVELOPMENT OF POST-REVOLUTIONARY PRIVATE INDUSTRY
The article investigates legal, historical and economic sources of credit cooperation start-up in Russia, its influence on private industry development in the years of the New Economic Policy (1924-1927). Initially the Soviet government considered it impossible to admit private capital to the credit sector. It permitted the work of only the State Bank and its branches, but they could not cope with cash flows. In 1922, with the permission of the People’s Commissariat of Finance, there appeared mutual credit societies, which acted in accordance with special regulatory and legal documents. The societies’ participants were moderate means people engaged in private production. The State Bank exercised both the government compliance monitoring over the societies and provided them with credits. This approach was important for revitalizing production and trade, improving the economic situation in the country. Mutual credit societies, similar to credit cooperatives, were dismantled for years in 1930.