Only petrochemicals and tobacco still make money
As of May 2014, 61 enterprises, subordinated to the state, will be required to list BYR 463 billion (EUR 34.0 million) to the National Development Fund. Payments should be made in equal instalments each month until the year-end. More than 80 % of the total amount to be transferred to the Fund will be due by the tobacco factory Neman and Belneftehim companies. This implies, that other economic sectors’ performance is rather poor and that they will not provide the anticipated level of budget revenues in 2014. As well, investment opportunities for these enterprises will be restricted. To patch budget deficit, the government might increase the number of inspections and other check-ups meant to replenish the state budget, and implement tougher sanctions for law violations.
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.