Belarusian authorities disagree with IMF requirements to abandon micromanagement at state enterprises
The International Monetary Fund proposed a radical revision of the management system at state-owned enterprises in Belarus. Minsk emphasised it would impossible to fulfil the IMF recommendations to change the management model in the short term in order to conclude a new loan programme. The Belarusian leadership is not ready for a drastic redistribution of powers of state bodies in managing the state economic sector. However, depending on the economic situation in 2017 and agreements with Russia on economic and financial support, Minsk may reconsider its decision and become more willing to accept the requirements of international donors.
According to Decree No. 221 of June 23rd, 2017, deadlines for the completion of foreign trade operations have been extended from 90 to 180 days for exports and from 60 to 90 days for imports. Delayed payments entailed a fine up to 2% of the transaction cost for each day of the delay, but could not exceed the total cost of the transaction. Most companies, when working with new counterparties, require a deferred payment for a period of three to six months. Due to the new regulation, violations are likely to reduce in number, so as the fines. Trade enterprises are likely to expand the assortment list due to the supply of new products in small lots, and the assortment list of exported Belarusian goods could expand, too. The new terms for completing foreign trade transactions would enable medium and small companies on the foreign trade market, exporters and importers are likely to grow in number and the geography of export-import operations could expand.