Belarus’ economy to begin recovering in 3Q20 – Ministry of Economy
<p> MINSK, Jun 8 - PrimePress. The Belarusian economy will begin to recover in the third quarter of 2020, says Minister of Economy of Belarus Alexander Chervyakov. </p> <p> </p> <p> “We are working on a package of measures to restore economic growth to the target set for 2020 [2.8% GDP growth]. It will be clear by the end of the year whether we will succeed,” Chervyakov said on Belarus-1 television channel. </p> <p> </p> <p> He believes the chance is good, because Belarus did not shut enterprises down. Otherwise, “it would take years to recover.” </p> <p> </p> <p> “Our research institute [Economy Research Institute of the Ministry of Economy of the Republic of Belarus] conducted a survey. Industry managers stated greater optimism: the index increased by 14 percentage points in May,” said Chervyakov. </p> <p> </p> <p> According to the minister, agriculture, construction, IT and food processing industries are showing growth, and so does output of oil products and potash fertilizers. The effect of presidential decree No.143 on supporting the economy dated April 24, 2020 is already noticeable. “The cost of energy commodities has reduced by Br117 million ($49.14 million at the rate of the National Bank of Belarus). This is the money that does not need to be paid, in fact, a direct subsidy. We weekly monitor the situation in the regions jointly with business entities. A channel for direct communication was organized on the website of the Ministry of Economy,” Chervyakov said. </p> <p> </p> <p> As reported, the decree provides deferments and installment plans for repaying tax credits, reduces the period for refunding the difference between tax deductions and the total amount of value added tax. Individual entrepreneurs, who have to suspend their businesses, are given the opportunity to switch to other taxation regimes and recalculate the single tax. The decree introduces rent holidays and a moratorium on increases in the base lease rate the rental charges. Local regulatory and executive bodies may reduce property taxes. Legal entities and individual entrepreneurs (property owners) are recommended granting lessees rent payment deferments and reducing rent payment amounts depending on the latters’ revenues. The Ministers of Health and Trade and the head of the State Committee for Standardization are given the right to suspend stores and catering facilities for up to 90 days for committed violations. </p> <p> </p> <p> Chervyakov also reaffirmed the plan to achieve GDP growth to $100 billion by 2025. “This is not a mythical figure. It is the level that would ensure wages and incomes, maintain employment and reduce workforce migration. This remains a key task,” Chervyakov said. </p> <p> </p> <p> As reported, President of Belarus Alexander Lukashenko demanded in March 2018 that the government ensure national GDP growth to $100 billion by 2025. Belarus’ GDP totaled $54 billion in equivalent in 2019, $56 billion in 2018 and $50 billion in 2017. End </p>
2020-06-09
Primepress
MINSK, Jun 8 - PrimePress. The Belarusian economy will begin to recover in the third quarter of 2020, says Minister of Economy of Belarus Alexander Chervyakov.
“We are working on a package of measures to restore economic growth to the target set for 2020 [2.8% GDP growth]. It will be clear by the end of the year whether we will succeed,” Chervyakov said on Belarus-1 television channel.
He believes the chance is good, because Belarus did not shut enterprises down. Otherwise, “it would take years to recover.”
“Our research institute [Economy Research Institute of the Ministry of Economy of the Republic of Belarus] conducted a survey. Industry managers stated greater optimism: the index increased by 14 percentage points in May,” said Chervyakov.
According to the minister, agriculture, construction, IT and food processing industries are showing growth, and so does output of oil products and potash fertilizers. The effect of presidential decree No.143 on supporting the economy dated April 24, 2020 is already noticeable. “The cost of energy commodities has reduced by Br117 million ($49.14 million at the rate of the National Bank of Belarus). This is the money that does not need to be paid, in fact, a direct subsidy. We weekly monitor the situation in the regions jointly with business entities. A channel for direct communication was organized on the website of the Ministry of Economy,” Chervyakov said.
As reported, the decree provides deferments and installment plans for repaying tax credits, reduces the period for refunding the difference between tax deductions and the total amount of value added tax. Individual entrepreneurs, who have to suspend their businesses, are given the opportunity to switch to other taxation regimes and recalculate the single tax. The decree introduces rent holidays and a moratorium on increases in the base lease rate the rental charges. Local regulatory and executive bodies may reduce property taxes. Legal entities and individual entrepreneurs (property owners) are recommended granting lessees rent payment deferments and reducing rent payment amounts depending on the latters’ revenues. The Ministers of Health and Trade and the head of the State Committee for Standardization are given the right to suspend stores and catering facilities for up to 90 days for committed violations.
Chervyakov also reaffirmed the plan to achieve GDP growth to $100 billion by 2025. “This is not a mythical figure. It is the level that would ensure wages and incomes, maintain employment and reduce workforce migration. This remains a key task,” Chervyakov said.
As reported, President of Belarus Alexander Lukashenko demanded in March 2018 that the government ensure national GDP growth to $100 billion by 2025. Belarus’ GDP totaled $54 billion in equivalent in 2019, $56 billion in 2018 and $50 billion in 2017. End