Rent increase no reason for worry according to Committee of Government Property

According to the government body in charge of state property issues, KUGI, an increase in rent rates will not lead to higher consumer prices. In 1996 and 1997 stable growth of commercial businesses was observed in Petersburg. Furthermore, the fact that bu

<BR>According to the government body in charge of state property issues, KUGI, an increase in rent rates will not lead to higher consumer prices. In 1996 and 1997 stable growth of commercial businesses was observed in Petersburg. Furthermore, the fact that businesses operating at a loss are present may be explained by unsatisfactory management practices or misrepresentation in accounting records of businesses actual income. According to KUGI press secretary Galina Uzdina, the Petersburg law on commercial renting practices makes provision for a decrease in rent for enterprises offering goods or services particularly important for society such as companies specializing in children s food production, organizations realizing and offering housing services and companies producing pharmaceuticals or children s goods.