Minsk hosts investment forum

2 октября 2016

By Andrei Laptenok: Investments mean new products, jobs, modernisation and higher wages. Without this, any country is doomed to lag behind. Last year, Belarus failed to fulfill a plan on attracting foreign direct investment, showing worse results compared to the previous year.

The total volume of foreign direct investments worldwide in 2015 rose by 36% compared with the previous year and amounted to 1.7 trillion dollars, which, according to the UN, is the highest figure since the global economic and financial crisis of 2008-2009. The main cash inflow was observed in developed countries, investments in developing countries making up just 5%. Investments in countries with economies in transition decreased by 54% – in Russia and Kazakhstan by 92% and 66%, respectively. The top ten traditionally attractive countries for investors includes the USA, Hong Kong, China, the Netherlands, the UK, India, Brazil, Canada and France.

To find its niche, Belarus has to make up for the lack of communication with investors at an accelerated pace. As a result, Belarusian economy presentations have taken place in New York, London, Vienna and Istanbul over the past year alone.

An investment forum has taken place at Minsk’s Marriott Hotel this week, featuring 500 participants from 30 countries. The forum was titled Expanding Horizons: Investments, Finances and Development.

Foreign capital companies have increased their capacity in Belarus by more than three-fold over the past five years. Almost all of Belarus consists of free economic zones. By definition, all investment costs are reduced by 25-30%.

In 2015, about 11 billion dollars was invested in the real sector of Belarus’ economy. This year, it is necessary to attract at least 1.5 billion foreign direct investments for economic growth recovery. To achieve this, the authorities are ready to remove all bureaucratic obstacles.

Belarus is ready to entrust all projects from banking to petrochemicals and road construction to major investors under new conditions. The Government is now deciding on whether to allow the investors to come to Belarus on a visa-free basis. According to the project prepared by the National Investment and Privatisation Agency, residents of the countries that are Belarus’ most active business partners will be able to stay in Belarus for 15 working days without a visa.

An investor road map currently being prepared by Belarus will include proposals put forward at the Minsk forum.