India is interested in buying a stake in “Belaruskali”
The Indian government has expressed its intention to invest in “Belaruskali” and waits for response from Belarus. The Extraordinary and Plenipotentiary Ambassador of India to Belarus Manoj Bharti said at a press conference, “Proposal of the Indian government has already been submitted and we are waiting for the Belarusian reaction”.
The Extraordinary and Plenipotentiary Ambassador of India to Belarus Manoj Bharti said at a press conference, “Proposal of the Indian government has already been submitted and we are waiting for the Belarusian reaction”.
India is the largest buyer of Belarusian fertilizers. Accordingly, the sale of shares to the buyer is not in the interests of the seller. For the Belarusian authorities it is important to show that bargaining for the enterprise continues. However prospects of selling it to non-Russian investors are vague, bearing in mind that “Sberbank” of Russia has taken as collateral for the $ 2 billion loan of 30% of the shares thereby having indirect control over the privatization of the enterprise. The annual foreign currency earnings of “Belaruskali” are about USD 2 billion, moreover it needs to attract new loans therefore neither “Belaruskali” nor the National Bank will not be able to return the loan to the Russian “Sberbank”. Respectively, the privatization of “Belaruskali” (albeit delayed) will be solely for the benefit of Russia. Russia estimated assets of “Belaruskali” at USD 10-15 billion, while Lukashenko at USD 30 billion. Sooner or later (2012-2013), both parties will reach a compromise.
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.