Services sector may step up influence on economic indicators in Belarus
In Belarus, in April 2016, nominal monthly salary reduced by BYR 85000 to BYR 7.086 million, despite the increase in wages in industry, agriculture and construction. In March 2016, the banking and IT sector paid bonuses based on performance in 2015. In April, therefore, salaries have been adjusted downwards in these sectors. The IT sector is the leader in wages in Belarus. In the future, the services sector is likely to increase its influence on the overall economic performance and its share in total GDP will grow. The IT sphere is likely to remain the leader in wages and the number of vacancies. With the reduction in exports of some goods, services may grow by up to 10% in 2016 relative to 2015 (information services, passenger transport). Visa facilitation and improving the quality of services may prompt tourism to become one of the economic drivers in Belarus.
The Labour and the Tax Ministries are considering the possibility to include persons engaged in some economic activity without forming a legal entity in the social security system. When the decree No 337 comes into effect, the number of private entrepreneurs is likely to reduce due to the possibility of reducing the tax burden when switching to a tax payment as an individual. 95% of self-employed, including PE, pay insurance premiums on the basis of the minimum wage. The number of self-employed citizens is expected to increase, the number of insurance contributions to the pension system from PE will decrease, the number of citizens who will pay a fee to finance government spending will decrease by several tens. Self-employed citizens have the alternative not to pay social security fees and save resources for future pensions, which, given the gradual restriction by the state of pension requirements could be a more long-sighted option.