Kremlin is ready to provide limited financial assistance to Minsk
Whether the EurAsEC’s Anti-Crisis Fund Council allocates the final USD 400 million tranche to Belarus will be decided in late 2014.
The official reason for the delay is the lack of harmonization of all issues, although earlier, Russia’s Ambassador to Belarus Alexander Surikov suggested that Belarus could receive the sixth tranche within the EurAsEC Anti-Crisis Fund’s loan in September-October 2014. In June 2014 Belarus received a substantial USD 2 billion loan from Russia’s VTB Bank, which helped her to safeguard the international reserves and to postpone the national currency’s devaluation. The Kremlin’s financial aid to Belarus is just enough to maintain some socio-economic stability in the country, but insufficient to support economic growth and improve people’s well-being. In the future, Russia will preserve this approach to dealing with Belarus and will put forward harsher requirements for Belarus to privatise her large assets.
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.