Eurobonds rates increased
The escalation between Belarus and the EU resulted in undesirable financial results. Belarusian Eurobonds quotes went down. The yield on five-year Eurobonds increased from 10.08% to 10.74% per annum (on 1st March), on 7-year bonds – from 10.29% to 10.61% per annum (on 1st March).
The yield on bonds is considered a benchmark for the placement of new bonds. In other words, if today Belarus decides to place bonds in the European bond market foreign investors will agree to provide funds at 10.7% per annum. For instance, a week ago, before the escalation of the diplomatic conflict, funds could be attracted at 10.1% per annum. When a country borrows hundreds of millions or even billions of dollars, even hundredths of a percent plays a big role.
Another important consequence is that due to the escalation a positive trend for Belarusian bonds has been interrupted, deteriorating chances to attract new funding.
President Lukashenka continues to rotate staff and rejuvenate heads of departments and universities following new appointments in regional administrations. Apparently, new Information Minister Karliukevich could somewhat relax the state policy towards the independent media and introduce technological solutions for retaining control over Belarus’ information space. New rectors could strengthen the trend for soft Belarusization in the regions and tighten the disciplinary and ideological control over the student movement in the capital.
President Lukashenka has appointed new ministers of culture and information, the new rector of the Belarusian State University and heads of three universities, assistants in the Minsk and Vitebsk regions.
The new Information Minister Karliukevich is likely to avoid controversial initiatives similar to those former Minister Ananich was famous for, however, certainly within his capacities. Nevertheless, the appointment of Belarusian-speaking writer Karliukevich could be regarded as the state’s cautious attempt to relax environment in the media field and ensure the sovereignty of national media.
The Belarusian leadership has consolidated the trend for mild Belarusization by appointing a young historian and a ‘reasonable nationalist’, Duk as the rector at the Kuleshov State University in Mogilev. Meanwhile, while choosing the head of the Belarusian State University, the president apparently had in mind the strengthening of the ideological loyalty among the teaching staff and students at the main university in order to keep the youth movement at bay. Previously, Korol was the rector of the Kupala State University in Grodno, where he held purges among the disloyal teaching staff.
The trend for the renewal of mid-ranking executives and their rejuvenation has confirmed. The age of the Culture Minister and three new rectors varies from 39 to 44 years old.