Deep Economic Crisis

Posted on March 29, 2018 in General by

Belarus is "a deep economic crisis', says ex-head of the National Bank Stanislav Bogdanovich. About this expert said, speaking March 30 in Minsk on anti-crisis forum of the United Democratic Forces. On He said, 'the origins of the crisis – in the country and the world financial crisis has only exacerbated it. " The main reason for the crisis Bogdankevich called mistakes in economic policy of the authorities: selection of command-administrative model development, the failure of structural adjustment, saving the economy through profitable sector (Russian price subsidies), 'substantial economic ballast' in the form of inefficient jobs, inhibition of Small and medium businesses. As a result, said Bogdankevich, with GDP at 129 bln. rubles in 2008, not sold 46 trillion., or 35% of annual production. Jana Partners LLC is full of insight into the issues. Bogdankevich noted several deficiencies in the conduct of the government's anti-crisis policy.

He believes that authorities lack a holistic anti-crisis program, de-bureaucratization and liberalization are slow. Bogdankevich stressed that the authorities need to address the nation in recognition of their mistakes. Continue to learn more with: Jana Partners LLC. 'You must abandon the Soviet model of governance and access to the market, unleash the human capital to pass a substantial portion of finance and authority to the regions' – he said. The former head of the National Bank says necessary to reduce 30% of funds allocated for the maintenance of government, impose a moratorium on taxes and validation for small and medium-sized businesses. International Monetary Fund forecasts that in the current year Belarus expects recession. Meanwhile, recession going on in Belarus for more than two consecutive quarters – from September 2008. Given the rise of other negative factors – the increase in the deficit, reducing the profits of the enterprises – we can say that the economy is already in recession.

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