Belarus Credit
Today Minsk asked for credit to the EU. He also expects an increase in
aid from the IMF. Call Alexander Lukashenko did not bow to Russia and
to seek happiness elsewhere realized.
Belarus requested the EU to the request for financial support, said on Wednesday the Minister of Finance Andrej Harkovets. The answer to the application is expected within 10 days.
«We did not request specific amounts. We know that the EU has a mechanism for providing macro-economic funding. It is linked with the work of the IMF in countries that request such support, », - said Belarusian Minister.
Minsk is also hoped to increase the assistance from the International Monetary Fund. On Wednesday, Deputy Chairman of the National Bank of Belarus Nikolai Luzgin stated that the Board of Directors of the IMF, the meeting which will be held on 29 June is likely to take a positive decision to increase credit support for Minsk to $1 billion «All the conditions are met, the corridor (fluctuation rate of the Belarusian ruble basket of currencies) has been extended », - explained the deputy head of the NBB. Earlier, the IMF has decided to allocate Belarus credit of $2.46 billion
Only after the IMF «verify» anti-crisis policy of the Belarusian authorities, Minsk considers it possible to refer to Russia over the allocation of the next tranche of credit of $500 million
«This is what can make the negotiations with Russia, earlier this term, we will not reopen negotiations»,
- Harkovets said. Earlier, the Russian side also expressed that she would await the outcome of the IMF mission in Belarus, he recalled. «We are with Russian counterparts the issue has not yet been discussed, since there are no final official IMF position», - said the minister.
The issue of allocation of Belarus, Russia tranche has caused so far stretch of conflict between countries.
In November and March of Belarus has received from Russia in support of trade and balance of payments loan for $1.5 billion with a five-year grace period and interest rate of less than 4% per annum. The first part of the loan in the amount of $1 billion was transferred on Nov. 18, 2008.
But in late May, Finance Minister Alexei Kudrin, Russia threatened that Russia may refuse to grant Belarus next tranche. He explained that the Minsk taking insufficient measures to ensure the stability and solvency of the economy. And it happens because of the «dependent position» the country. As has already been made by Belarus in the liquidation of credit growth in 2011 will exceed $1 billion, has estimated the Russian minister.
In response, the President of Belarus Alexander Lukashenko demanded that the Government of the Republic does not bow to Russia and to seek happiness elsewhere, bearing in mind the Western countries. Then, Russia banned the import of 500 items of Belarusian dairy products, and «Gazprom» demanded additional payment for delivered gas.
Experts believe that the EU and the IMF have great difficulties if they choose, before you apply a credit, to determine the creditworthiness of the Belarusian economy in crisis. In February of this year, Belarusian media reported that the approved anti-crisis program. However, the official website of the Government it's not, say experts from the FCO. But there are plenty of emotional speech of President Alexander Lukashenko on the topic of crisis management: «We have taken another course - to keep the production and every human being», «the Government in the current environment should be one big Ministry of Trade», «Economy and frugality should be an integral feature of thinking the head of any rank ». And so on in the same spirit.
Risks of credit default Byelorussia great, feel experts. But the decision to grant her a loan - this is more politics than economics, believes the president of the political conjuncture Russia Konstantin Simonov.
«EU exactly allocate credit to Belarus, as the West strategically important to implement a business expansion in this country after the failed to hold a« orange revolution »,
- Says the expert. Time to start the expansion of well chosen - the Belarusian economy alone can not cope with the crisis. West expects that Lukashenko, type of loans will be forced to accept the privatization of enterprises and the sale of their shareholdings in Western investors.
This erroneous view that the West is willing to pay for political loyalty, object deputy director of the political conjuncture Alexei Makarkin. He believes that the IMF was not for that did not give Belarus a loan, if found to be unsatisfactory macroeconomic performance of its economy.
«The EU have enough internal problems that still flush with cash outside the Union»,
- Makarkin said. He recalled that all decisions in the EU are taken by consensus rather than a simple majority. «For example, Latvia is clearly against the provision of a loan and Belarus ask money for myself. Her argument: the mayor of Riga has become a Russian, you may want to Latvia will soon again become «Soviet republic»? »- Believed Makarkin.
But if Russia wants to maintain influence in Belarus, «it is time to accept that it is - our partner, not satellite», - advises Makarkin. «We can explain Lukashenko that drift toward the West personally for it to be tragic, he loses power», - looks Simonov.
Belarus requested the EU to the request for financial support, said on Wednesday the Minister of Finance Andrej Harkovets. The answer to the application is expected within 10 days.
«We did not request specific amounts. We know that the EU has a mechanism for providing macro-economic funding. It is linked with the work of the IMF in countries that request such support, », - said Belarusian Minister.
Minsk is also hoped to increase the assistance from the International Monetary Fund. On Wednesday, Deputy Chairman of the National Bank of Belarus Nikolai Luzgin stated that the Board of Directors of the IMF, the meeting which will be held on 29 June is likely to take a positive decision to increase credit support for Minsk to $1 billion «All the conditions are met, the corridor (fluctuation rate of the Belarusian ruble basket of currencies) has been extended », - explained the deputy head of the NBB. Earlier, the IMF has decided to allocate Belarus credit of $2.46 billion
Only after the IMF «verify» anti-crisis policy of the Belarusian authorities, Minsk considers it possible to refer to Russia over the allocation of the next tranche of credit of $500 million
«This is what can make the negotiations with Russia, earlier this term, we will not reopen negotiations»,
- Harkovets said. Earlier, the Russian side also expressed that she would await the outcome of the IMF mission in Belarus, he recalled. «We are with Russian counterparts the issue has not yet been discussed, since there are no final official IMF position», - said the minister.
The issue of allocation of Belarus, Russia tranche has caused so far stretch of conflict between countries.
In November and March of Belarus has received from Russia in support of trade and balance of payments loan for $1.5 billion with a five-year grace period and interest rate of less than 4% per annum. The first part of the loan in the amount of $1 billion was transferred on Nov. 18, 2008.
But in late May, Finance Minister Alexei Kudrin, Russia threatened that Russia may refuse to grant Belarus next tranche. He explained that the Minsk taking insufficient measures to ensure the stability and solvency of the economy. And it happens because of the «dependent position» the country. As has already been made by Belarus in the liquidation of credit growth in 2011 will exceed $1 billion, has estimated the Russian minister.
In response, the President of Belarus Alexander Lukashenko demanded that the Government of the Republic does not bow to Russia and to seek happiness elsewhere, bearing in mind the Western countries. Then, Russia banned the import of 500 items of Belarusian dairy products, and «Gazprom» demanded additional payment for delivered gas.
Experts believe that the EU and the IMF have great difficulties if they choose, before you apply a credit, to determine the creditworthiness of the Belarusian economy in crisis. In February of this year, Belarusian media reported that the approved anti-crisis program. However, the official website of the Government it's not, say experts from the FCO. But there are plenty of emotional speech of President Alexander Lukashenko on the topic of crisis management: «We have taken another course - to keep the production and every human being», «the Government in the current environment should be one big Ministry of Trade», «Economy and frugality should be an integral feature of thinking the head of any rank ». And so on in the same spirit.
Risks of credit default Byelorussia great, feel experts. But the decision to grant her a loan - this is more politics than economics, believes the president of the political conjuncture Russia Konstantin Simonov.
«EU exactly allocate credit to Belarus, as the West strategically important to implement a business expansion in this country after the failed to hold a« orange revolution »,
- Says the expert. Time to start the expansion of well chosen - the Belarusian economy alone can not cope with the crisis. West expects that Lukashenko, type of loans will be forced to accept the privatization of enterprises and the sale of their shareholdings in Western investors.
This erroneous view that the West is willing to pay for political loyalty, object deputy director of the political conjuncture Alexei Makarkin. He believes that the IMF was not for that did not give Belarus a loan, if found to be unsatisfactory macroeconomic performance of its economy.
«The EU have enough internal problems that still flush with cash outside the Union»,
- Makarkin said. He recalled that all decisions in the EU are taken by consensus rather than a simple majority. «For example, Latvia is clearly against the provision of a loan and Belarus ask money for myself. Her argument: the mayor of Riga has become a Russian, you may want to Latvia will soon again become «Soviet republic»? »- Believed Makarkin.
But if Russia wants to maintain influence in Belarus, «it is time to accept that it is - our partner, not satellite», - advises Makarkin. «We can explain Lukashenko that drift toward the West personally for it to be tragic, he loses power», - looks Simonov.
