For the first time bonds of the USSR were issued in 1922. The Soviet government was forced to seek funds to restore industry and agriculture, destroyed during the First World War and the Civil War. Foreign investors were in no hurry to invest, and international banks to give loans. The country's economy lay in ruins. Urgently needed money. The only one who could give them was the people.
What types of bonds existed
The bonds of the USSR state loan were issued in two forms: in interest and win-win. In the first type they paid a percentage of 3-4% per annum, in the second they held annual raffles. The bond in this case was something like a lottery ticket. Payments were made only for the security whose number turned out to be winning.
The full repayment of debt by the state to citizens was 20 years. Naturally, no one believed that the state would at least give something for them, and subsequent markdowns and revaluations further undermined the belief that at least some money would be paid. No one perceived USSR bonds as a financial instrument for the accumulation and preservation of capital.
Who was the main buyer
The purchase of bonds was initially coercive in fact, but considered legally voluntary. The first to be obligated to buy USSR government bonds were small and medium-sized entrepreneurs (NEPmans), large landowners (they had not yet driven them into collective farms), and workers at enterprises. The very first securities were issued for agricultural products and industrial products. After the restoration of the monetary system, bonds were sold for money.
Papers were bought because it was mandatory (many were not even asked, the amount was automatically deducted from the salary). Perceived as another tax charge. Therefore, there is practically no judicial practice regarding non-payments on USSR bonds in the Russian Federation. The only lawsuit in the history of Russia took place in 2006 on bonds issued in 1982. The verdict was passed in favor of the state, which is understandable. The Russian Federation is not able to pay off all debts that were made by the Soviet Union to all holders of securities.
Emission periods
The state did not resort to this tool all the time, as some write. It was more a necessary measure than a desire to rob the population once again. Therefore, it is not surprising that the start dates of the issue coincide with the tragic moments in the history of our country. The USSR loan bonds were issued in the following years:
- 1922-27 years. - after the First World War and the Civil War. The already weak economy was almost completely destroyed. Money was needed for its restoration and development.
- 1927-41 - accelerated industrialization. Over 1,000 enterprises are being built in the country per year. The USSR is becoming an industrialized country. Funds from the sale of bonds also go to the purchase of machine tools and patents.
- From 1942 to 1946 - The period of the active phase of the war. To develop and consolidate success, you need as much military equipment and ammunition as possible. Bonds were bought up like hot cakes. To defeat the Nazis, the people spared neither money nor strength. In 1942, the amount of securities sold exceeded 10 billion rubles in the first 2 days of the issue alone.
- 1946-57 - after the war there was an urgent need for money. Half of the country lay in ruins. We needed funds for restoration.
- 1957-89 - bonds are used as an accumulation tool. The capitals of citizens are used in the formation of the state budget.
There were periods when the state extended the maturity by several years. Securities have depreciated. Despite such measures, no indignation ensued. Everyone understood that the money goes to the benefit of society, and does not settle on the accounts of officials in foreign banks.
Where did the proceeds go
The proceeds from their sale were used to rebuild and develop the country and improve the lives of ordinary Soviet citizens. Enterprises were built - new jobs appeared. Consumer goods were produced . The Soviet economy grew. People received a salary, the level of well-being increased.
Conclusion
It is still a moot point whether the state acted for good or bad without fully paying its debts to the citizens to whom it “tricked” junk bonds. Some people think that this is wrong. Others - that there was nothing like this, and all holders of securities received the funds in full. Although the witnesses of those times say the opposite. But without the material help of the common people, it would be impossible to carry out industrialization, to ensure victory in the Second World War and the subsequent restoration of the country. With the money earned from the sale of bonds in the USSR, they built houses, hospitals, railways, factories.
Judge for how much government action has been justified. But no matter what rating a contemporary makes, nothing can be changed in the past.