EBRD to assist privatisation of Moscow-Minsk Bank
According to the memorandum signed by the National Bank of Belarus and the European Bank for Reconstruction and Development, EBRD will provide financial and technical assistance to OJSC "Moscow-Minsk Bank" in the privatization process to be completed by January 1st, 2020. EBRD will open a credit line of up to EUR 20 million and may become one of the bank’s shareholders. If the project is a success, foreign investors are likely to increase the interest in Belarusian assets. As well, interest rates for SMEs may reduce, and the state may reduce its share in the banking sector, while the National Bank would preserve full control over it. Nevertheless, the state will not give up a controlling stake in systemically important banks, and would sell a blocking stake only to major international banking structures.
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.