Tasks for the government

The President of Belarus, Aleksandr Lukashenko, held a meeting with senior members of the Council of Ministers. This time the conversation was held in an expanded format, many issues were discussed: from attracting investments and the situation in agriculture to the construction of roads and the social sphere.

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The President asked the Prime Minister whether all indicators showed positive dynamics, whether they managed to fully overcome last year’s obstacles (logistics and transaction costs, the search for new partners and markets). He also asked how the target tasks are being carried out, the effectiveness of the implementation of the ‘one district — one project’ concept.

On investments and the relevant bill

The bill to facilitate and promote the implementation of investment projects was submitted for consideration of the Head of State. According to the developers, the bill will help level off the situation and increase investment flow. 

“In fact, the submitted draft law is to replace Decree No.10, which has served as the legal basis for investment contracts for almost 15 years. It was a breakthrough document in its time. Over the past years, representatives of 20 countries have invested more than $8 billion. More than 1,000 projects have been implemented,” the Head of State said.

The declining volume of investment, both external and domestic, has been a recent trend, Aleksandr Lukashenko emphasised.
“Of course, any country today is trying to provide investors with attractive conditions. We should also create competitive advantages, so that money would be invested in promising, high-tech, innovative industries right here in Belarus. I am not against reasonable innovations, and I am always ready to support them. I would like however to hear your report on the essence of the draft law and its expected effect. Who is the bill aimed at? In the current geopolitical circumstances, it is highly unlikely for Western investors to come to the Belarusian economy. Let us focus on others: eastern, Asian, African and other investors. We should also work with Western investors, we should not reject their proposals immediately,” the President said.
At the same time, the President recalled an important rule: social responsibility must make the basis of any project, including full time employment, good wages, a wide social package and, of course, tax payment, 

“I do not think we need projects when they come here to, as they used to say, squeeze everything out of the people and pay peanuts (paying no taxes at all, and offering let us say $500 to workers), and take the main profit in the form of dividends out to unfriendly countries. I don’t think we need such projects. We are not a banana republic, but a high-tech, highly developed country, and we must work primarily with our investors.”

On the organisation of the 2nd CIS Games

Aleksandr Lukashenko gave instructions to ensure the excellent organisation of the 2nd CIS Games. The competitions will take place in 11 Belarusian cities and towns from August 4th–14th. 

“In the current circumstances this sport festival is acquiring special importance for Belarusian athletes and a wide range of our friends, who have confirmed their participation in the Games. We must not just host the Games at the highest level. We must once again show that Belarus is an open and peaceful country that offers comfortable and safe conditions for people,” the Head of State said.

On tasks and agreements with the Government

The President focused on problematic issues: the workload of warehouses, large accounts receivable, slow development of new markets. 
According to the Prime Minister Roman Golovchenko, the growth rate of gross domestic product amounted to 100.9 percent. 
“And what was the targeted figure?” the Head of State wondered.
“We still have to hit 102.6 percent in June alone,” Roman Golovchenko responded.
“But we feel what performance figures we will get over the half year. You wanted 102 percent, and you got 101 percent,” Aleksandr Lukashenko remarked.
“But in net terms (May to May) we have 7 percent. This is why I think we will either hit the semiannual performance target or will get close to it. The economy is gaining momentum now,” Roman Golovchenko noted.
Let’s make an agreement in public. If you don’t hit specified performance figures, all of you will have to retire. You and the First Feputy Prime Minister will be the first ones. I want reporters to see it and people to understand it. If you accomplish the tasks, you will get thanks, orders, awards. If you don’t, tough decisions will be made,” Aleksandr Lukashenko said.
“Good,” the Prime Minister agreed.

On the situation in the markets and new industries

Prime Minister of Belarus Roman Golovchenko described the situation in economy. In his words, in five months the economy reached the targeted growth trajectory. Foreign trade surplus amounted to $203 million in January–April. It is expected that its volumes will increase based on the results of work for the first half of the year.
An increase in added value in the manufacturing sector accounted for the largest contribution to the GDP growth.
The Head of State wondered about the stock in storage at Belarusian enterprises. Aleksandr Lukashenko stressed that one should not be hung up on one or two markets, one should also go to other countries. 
Summing up the meeting, the President stated that the government and the economy are working today, but there are problems that could seriously affect the situation in the future. Wherein Aleksandr Lukashenko reminded about his instruction: no talks about sanctions, sanctions cannot be used as an excuse. The President also believes that it is necessary to look for more potential among regional governors.

I am far from saying that everything has been failed. But there are issues and problems that need to be addressed.

Based on materials of sb.by and belta.by