The decree scrapping mandatory foreign currency sale will increase competitiveness of Belarusian enterprises, Deputy Chairman of the Board of the National Bank of Belarus Sergei Kalechits told the STV channel commenting on the document, BelTA has learned.
“The move will help streamline business operations and raise the competitiveness of Belarusian enterprises, including on the common market of the Eurasian Economic Union. It will also help improve investment climate in our country. On the other hand, this decision was adopted against a very stable situation on the domestic foreign currency market. Over six months this year our companies sold about 50% of their foreign currency proceeds on the domestic forex market in order to get Belarusian rubles for settling accounts inside the country, paying salaries and taxes. In this situation, the requirement to sell 10% of foreign currency proceeds makes no economic sense,” he said.
Other experts share the view that this document will help liberalize the economy and improve business climate in Belarus. “Fees paid during the sale and purchase of foreign currency affected the economic performance of companies, to say nothing of currency translation differences. This decree brings revolutionary changes to the market. It is the right way to carry on with the de-dollarization of our economy,” Chairman of the Board of Directors of the Belarusian investment company Uniter Andrei Derekh said.
With a view to liberalizing the foreign currency market and stimulating business activity, Belarus president signed the decree abolishing the mandatory sale of foreign currency by Belarusian companies. This instrument was used to boost foreign currency supply on the forex exchange. At the same time, it was viewed as a deterrent, because it was perceived by investors as a mechanism of administrative control and restrictions. The abolition of the mandatory sale of part of foreign currency proceeds will increase competitiveness of Belarusian exporters and improve business operation terms in Belarus.