Belarusians to support national currency with their savings
According to the National Bank, in November 2016, Belarusians sold cash and non-cash currency worth USD 159.3 million on a net basis. People’s net supply of currency in November was the lowest in H2 2016. Due to reductions in nominal wages in the economy, people have reconsidered the prospects for their revenues to grow. In the near future, a short-term increase in the net supply of foreign currency is likely due to year-end bonus payments and the New Year celebrations. As of January 2017, retail trade volumes are likely to reduce again. However, due to further growth in utility tariffs and cuts in soft loans, Belarusians are likely to continue to spend their savings and provide an additional supply of foreign currency.
According to Belstat, in August 7,600 people were dismissed, including 4,800 civil servants. Dismissals of civil servants were due to the optimisation in the public administration by up to 30%. Some civil servants would retain their job however would lose the status of a civil servant. Vacancies on the labour market are likely to reduce in number, thanks to the optimisation, the state administration would increase wages for public servants. The payroll fund for retained employees is likely to increase and some former state employees are likely to get jobs in affiliated organizations. The optimisation of the state apparatus should complete by January 1st, 2018, and some former civil servants are likely to join the ranks of the unemployed.