National Bank suggest that companies seek cheap loans outside banking system
As of September 1st, 2016 Belarus established an Encumbered Assets Registry, and started the transition to International Financial Reporting Standards, which should increase the transparency at enterprises vis-à-vis foreign creditors, and should bring other financial resources outside the banking sector. The expected discount rate in 2017 is projected at 15%-17% (against current 18%), which would not make loans substantially cheaper for enterprises. Enterprises may boost activity on the domestic market by selling assets and bonds to private persons. The Belarusian authorities are likely to lift the ban on asset sales for some loss-making enterprises and some assets may be put up on the international market. Enterprises, which will be unable to raise additional funds or to restructure current debt, will be subjected to compulsory rehabilitation procedure by Belarusian banks.
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.