Privatisation and banking sector are the most likely sources to replenish international reserves
Belarus’ international reserve assets calculated by the IMF SDDS standards decreased by USD 427.7 million in January 2014. Due to significant payments on Belarus’ public debt and the lack of loans from Russia, Belarus’ international reserves fell to USD 6.2 billion, regardless of a relative stability on the currency market. Most likely, the National Bank will increase pressure on the banking sector in order to find means to replenish the gold reserves. In addition, Belarus may reconsider prices on privatisation assets and sell some for circa USD 100-200 million.
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.