Foundation of everything

What does the National Security Concept project say about the economic aspect

In the current difficult conditions, it is extremely important, as President of Belarus Aleksandr Lukashenko says, to hold on to your own and develop what is available. The Belarusian economic model is built on this idea, as well as on the principle of social responsibility. Belarus adheres to the model of a socially oriented market economy, which today is designed to preserve our independence. It has proven its worth and effectiveness. In general, in 2010-2021, the country’s GDP increased in comparable prices by 21.2 percent, with an increase in labour productivity over the specified period by 32.4 percent. However, numerous external challenges and threats, including unprecedented economic pressure in the form of illegal sanctions against Belarusian enterprises, create difficult conditions for its functioning. Nevertheless, the draft National Security Concept of Belarus provides clear definitions of what and how the country plans to protect its economic model.

Andrei Sazonov

World trends

The world economy is characterised by instability associated with the redistribution of spheres of influence, including by force, as well as the consequences of large-scale international economic sanctions, which have become a tool to influence the socio-economic processes of objectionable states. The world centres of power are taking actions to disintegrate and absorb the economies of developing countries, giving them a raw material orientation. The promotion of digital technologies, biotechnologies and artificial intelligence forms the prerequisites for changing the structure of the economy, transforming traditional directions for the introduction of productive forces and financial flows. The advanced development of knowledge and technologies ensures the evolution of existing and the emergence of new professional competencies.
At the same time, the need for highly qualified specialists is growing. The use of the latest digital currencies (tokens, including cryptocurrencies) is being activated, competition for control over markets, resources and technologies is intensifying, inequality in the distribution of income from world trade is increasing, and financial dependence is growing.
Of particular importance for states in the implementation of their foreign economic interests is loyalty to the political situation of developed states. Many countries are experiencing insurmountable problems with maintaining the quality of life, economic recession, rising unemployment. There are growing threats to energy and food security.





DIRECT SPEECH

Natalya Kireenko, Doctor of Economics, Professor, 

“The Republic of Belarus has chosen a rather unique approach to the development of a model of the country’s socio-economic development. The importance of this model is that it focuses on the social aspect. The model, which is envisaged in our country, involves preventing significant social stratification in society, maintaining the system of social security, healthcare, education and culture at the proper level. 
Therefore, economic security as the basis of national security is one of the priorities. Its importance lies in the fact that in the economic sphere we are considering the issue of economic growth, increasing the competitiveness of products, the development of production, financial, credit and other systems.
Of course, it includes questions on human capital and food security. Economic security is a state that guarantees the protection of the national interests of Belarus from internal and external threats. Therefore, the currently chosen model and the emphasis on the system of economic security indicate that the Republic of Belarus is following the fundamentally correct path of its unique development.”



The main national interests in the economic aspect are:
• economic growth and competitiveness of the Belarusian economy based on its restructuring, improvement of the management system, sustainable innovative development, active investment in human capital and high technology, cost reduction and development of high-tech, export-oriented and import-substituting industries;
• ensuring price and financial stability;
• development of the national financial market and state-regulated integration into the international financial system;
• non-discriminatory access to world markets for goods, services and finance, as well as raw materials and energy resources;
• achieving a level of energy security that ensures an acceptable level of diversification of the country’s fuel and energy balance by types and suppliers of consumed fuel and energy resources, economically and environmentally justified use of the potential of local energy resources, reducing the energy intensity of GDP;
• ensuring food security;
• introduction of promising technologies in the country’s economy, including through foreign direct investment, the availability of foreign credit resources;
• maintenance of commodity and country diversification of exports of goods and services, balance of foreign trade, ensuring foreign economic security;
• mutually beneficial and non-discriminatory economic co-operation within the framework of international integration associations;
• balanced development of the public and private sectors;
• creation of conditions for balanced development of regions;
• development of digital technologies and regulated digital transformation of the economy.

Internal sources of threats to national security in the economic aspect are:
• lagging behind other countries, primarily neighbouring countries, in terms of economic development;
• outdated technologies and fixed assets, the prevalence of material and energy-intensive industries, low quality of manufactured products and its slow renewal;
• presence of unreasonable administrative barriers to business development and entrepreneurial activity;
• imbalance of economic development;
• unfavourable conditions for attracting investments and loans;
• low diversification of exports and imports of goods and services;
• the impossibility of guaranteed supply of raw materials and energy resources in the volumes necessary for stable economic growth;
• deficit of own working capital, high debt burden of commercial organisations, large share of unprofitable business entities;
• discrepancy between the level of personnel training and the structure of the needs of the economy in specialists and workers, the shortage of qualified specialists for modern production and organisation of business processes;
• insufficient efficiency of state control.

The main external sources of threats to national security in the economic aspect are:
• deterioration in the terms of foreign trade, attraction of credit and investment resources due to unfavourable conditions on world markets and the introduction of unjustified economic sanctions (restrictive measures);
• adoption by foreign states of protectionist measures, the establishment of barriers and discriminatory conditions for the implementation of export-import operations;
• development of transit corridors, systems of transportation of raw materials and energy resources, alternative to those available in the Republic of Belarus, purposeful limitation of its transit possibilities;
• worsening financial imbalances and high volatility in global currency and stock markets.

  By Svetlana Isaenok