MINSK, 27 May (BelTA) - Financial resources for business will be made more accessible in Belarus as the inflation and directed lending rates are cut down, Belarus' First Deputy Prime Minister Vasily Matyushevsky said at the joint meeting of the two chambers of the Belarusian parliament on 27 May, BelTA has learned.
“To make the resources cheaper we need to do two things: to reduce the rate of inflation and cut down on directed lending. This will create normal conditions in the monetary market. But this will take time. We understand this clearly,” Vasily Matyushevsky said.
“There are separate programs on lending to small and medium-sized business both within the framework of the World Bank and also the European Bank for Reconstruction and Development, and other institutions. According to the First Deputy Prime Minister, with the government participating they are ready to provide sufficient resources at fair value.
“Unfortunately, these resources are not denominated in the Belarusian rubles. Here comes the second target which is de-dollarization of the economy. This is even a more fundamental problem. It is no secret that 70% of loans that have been issued so far have been denominated in foreign currency. Hence we have such misbalances and problems, including in the financial situation, after the devaluations,” Vasily Matyushevsky said.
The government is working on the de-dollarization together with the National Bank. “As we see it, we have been working consistently on the de-dollarization. This work will take time too,” Vasily Matyushevsky said.
