Lukashenka Unable To Maintain His "Model"

The dictator has ran out of money.

In 2017 the state will dramatically reduce directed lending.

The authorities have decided to give only 1.9 billion of directed credits – this amount of state support is smaller than it was last year, ej.by informs.

The document approves the general directions and limits of directed lending of government programs and activities, and also plan of their financing by the Development Bank in 2017.

If the crediting exceeds the accepted limits for 2017, it will be carried out without state support. Other may be established by legislative acts.

Such banks as "Belarusbank", "Belagroprombank", "BPS-Sberbank", "Belvnesheconombank", "Priorbank", "Paritetbank" will be authorised to give directed credits in 2017, including loans for housing and the construction of facilities within the framework of state programs. However, with the remark "if resources are available."

We remind, that drastic reduction of state support has begun in 2016.

According to the Ministry of Finance, the volume of state support provided to legal entities and individual entrepreneurs amounted to 1.07 billion denominated Belarusian rubles in January-September 2015. Thus, as compared to January-September last year, the volume of state support of the economy has dropped by more than 3.5 times.

The biggest amount of state support (243.9 million Belarusian rubles) provided to enterprises, was provided in the form grants and loans, that is by 3.13 times less than in January-September 2015. The budget spent almost 47 million Belarusian rubles for partial reimbursement of interest on loans, which is 3.4 times less than in the first 9 months of 2015.