Abstract:

The article is devoted to the study of the participation forms of municipalities in the economic activity. The right to organize business activities and to participate in it is an integral part of the rights of municipalities and one of the guarantees of local self-government. However, due to the fact that the latter is included in the system of public power and represents one of its forms, it naturally extends to certain restrictions. Modern legislation does not allow municipalities to participate effectively in the economic activities, to satisfy their economic needs, to find additional sources of local budget replenishment. The main aspects of the scientific problem being investigated include the following issues: the lack of a theoretically sound mechanism for the creation by municipalities of the economic societies and legal entities of other organizational and legal forms and participation in them; the insufficiency of the statutory legal forms of legal entities for the participation of municipalities in them; insufficiently effective legal regulation of the implementation of the right of the municipality to create its own economic entities.