Finance Ministry aspires to borrow USD 300 mln from population and businesses before year-end
A Finance Ministry representative announced plans to raise USD 500 million on the domestic market in 2014. In January – May 2014, the government managed to raise USD 200 million, therefore, during the remaining months of 2014 it will issue new bonds for individuals with one or two-year maturity period.
It is anticipated that foreign currency bonds might be sold at forex or a secondary security market could be created. Also, the largest state banks might issue new bonds. Due to anticipated loans from Russia, interest rates on securities might reduce, and bonds might be issued in Russian roubles.
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.