Deposit auction on Belarusian Stock Exchange would boost corporate proceeds by reducing banks’ profitability
As of March 21st, 2017, the Belarusian Stock Exchange introduced a daily market for exchange-traded deposit auctions for legal entities. In Belarus, legal entities have a limited set of financial instruments to make free foreign currency profitable. The new market opportunity would allow enterprises to establish the desired level of return on their own funds and on their terms. The interest rates on corporate deposits are likely to grow; foreign currency deposits in the banking system are likely to increase due to higher interest rates on the deposit market; and the banking sector profitability is likely to decrease due to a reduction in the banking margin for deposit and credit operations. The expansion of the deposit auctions market with the possibility of raising funds from individuals could lead to an increase in the currency deposits, a complete reformatting of the deposit market for large investors and their reorientation towards auctions.
The Belarusian authorities regard the Catholic conference as yet another international event to promote Minsk as a global negotiating platform. Minsk’s proposal to organise a meeting between the Roman-Catholic Church and the Russian Orthodox Church is rather an image-making undertaking than a serious intention. However, the authorities could somewhat extend the opportunities for the Roman-Catholic Church in Belarus due to developing contacts with the Catholic world.
Minsk is attempting to lay out a mosaic from various international religious, political and sportive events to shape a positive image of Belarus for promoting the Helsinki 2.0 idea.
Belarus’ invitation to the head of the Holy See for a meeting with the Patriarch of the Russian Orthodox Church should be regarded as a continuation of her foreign policy efforts in shaping Minsk’s peacekeeping image and enhancing Belarus’ international weight. The Belarusian authorities are aware that their initiative is unlikely to find supporters among the leadership of the Russian Orthodox Church in Moscow. In Russia, isolationist sentiments prevail.
In addition, for domestic audiences, the authorities make up for the lack of tangible economic growth with demonstrations of growth in Minsk’s authority at international level through providing a platform for religious, sportive and other dialogues.