Belarus - Industrial Performance Before and During the Global Crisis : Belarus Economic Policy Notes : Note No. 2

This note attempts to analyze and tentatively answer these questions by focusing on the drivers of growth and productivity, labor markets and enterprise restructuring, as well as the state system of enterprise support, which is key to understanding the interplay between the state and the economy in Belarus. The period of analysis covers 2004-08 with appropriate references to the previous periods and comparisons with Russia and/or other Commonwealth of Independent States (CIS) countries. The final section explores the Belarus's industrial performance in the period of the global crisis (late 2008-09) and reviews the government's policies that have been largely responsible for a relatively mild effect of the crisis on economic dynamics in the country. The analysis is based on the official statistics provided to the team by the National Statistics Committee (Belstat), National Bank, and various ministries, as well as statistics from other national and international statistical sources. In addition, the analysis benefited from the data provided by various enterprise surveys undertaken by the Research Institute by the Ministry of Economy (RIME) and from two sector case studies (in machinery and dairy sub-sectors). Belarus has weathered the crisis so far better than most of its neighbors, in part due to the government policies to boost domestic demand in a predominantly state-owned and controlled economy. This was achieved at a considerable macroeconomic cost. The country's ability to sustain possible future shocks declined, and macroeconomic risks increased. The crisis has further exposed risks associated with the Government of Belarus (GOB) practice of heavy reliance on administratively set targets for large and medium-size enterprises, especially targets for output and average wage growth.

Bibliographic Details

Main Author:	World Bank
Language:	English
Published:	World Bank 2010-06-25
Subjects:	ACCOUNTING, ADMINISTRATIVE CONTROLS, ADVERSE EFFECT, AGRICULTURAL PRODUCE, AGRICULTURE, APPAREL, AVAILABILITY OF BANK CREDIT, AVERAGE PRICE, AVERAGE PRICES, BANK LOANS, BARRIERS TO GROWTH, BENEFICIARIES, BILATERAL TRADE, BUSINESS ENVIRONMENT, CAPITAL GOODS, CHANGES IN TRADE, COMPARATIVE ADVANTAGE, COMPARATIVE ADVANTAGES, COMPETITIVE ADVANTAGE, COMPETITIVE ADVANTAGES, COMPETITIVE POSITION, COMPETITIVE PRESSURES, COMPETITIVENESS, CONSUMER GOODS, COST EFFECTIVENESS, CURRENCY, CURRENT ACCOUNT, CURRENT ACCOUNT BALANCE, CURRENT ACCOUNT DEFICIT, DEVELOPING COUNTRIES, DOMESTIC DEMAND, DOMESTIC MARKET, DOMESTIC MARKETS, DURABLE, DURABLE GOODS, ECONOMIC COOPERATION, ECONOMIC CRISIS, ECONOMIC LIBERALIZATION, ECONOMIC PERFORMANCE, ECONOMIC POLICIES, ECONOMIC POLICY, ECONOMIC RELATIONS, ECONOMIC STRUCTURE, ECONOMIES OF SCALE, EMERGING MARKET, EQUIPMENT, EXCHANGE RATE, EXCHANGE RATE POLICY, EXPORT DIVERSIFICATION, EXPORT DYNAMICS, EXPORT GROWTH, EXPORT MARKET, EXPORT MARKETS, EXPORT OPPORTUNITIES, EXPORT PERFORMANCE, EXPORT PRICE, EXPORT PRICES, EXPORT PROSPECTS, EXPORT VOLUMES, EXPORTER, EXPORTERS, EXTERNAL FINANCE, EXTERNAL MARKETS, EXTERNAL SHOCKS, EXTERNALITIES, FACTOR MARKETS, FACTOR PRICE, FINANCIAL SYSTEM, FOOD EXPORTS, FOOD INDUSTRY, FOREIGN BANK, FOREIGN COMPETITORS, FOREIGN DIRECT INVESTMENTS, FOREIGN EXCHANGE, FOREIGN FIRMS, FOREIGN MARKET, FOREIGN MARKETS, GDP, GDP PER CAPITA, GLOBAL ECONOMY, GLOBAL EXPORTS, GLOBAL INTEGRATION, GLOBAL MARKET, GLOBAL TRADE, GOVERNMENT INTERVENTIONS, GOVERNMENT REGULATIONS, GOVERNMENT SUPPORT, GROSS DOMESTIC PRODUCT, HOLDING, HOST ECONOMY, IMPACT OF TRADE, IMPORT RESTRICTIONS, INCOME, INCOME GROWTH, INDUSTRIAL PRODUCTS, INDUSTRIAL SECTOR, INDUSTRY TRADE, INFORMATION ASYMMETRY, INTANGIBLE, INTELLECTUAL PROPERTY, INTERMEDIATE GOODS, INTERNATIONAL BORROWING, INTERNATIONAL DEVELOPMENT, INTERNATIONAL MARKETS, INTERNATIONAL TRADE, INVESTMENT CLIMATE, KNOWLEDGE ECONOMY, LEGAL FRAMEWORK, MACROECONOMIC STABILITY, MACROECONOMIC VOLATILITY, MARKET ACCESS, MARKET COMPETITION, MARKET CONCENTRATION, MARKET CONDITIONS, MARKET DEMAND, MARKET DIVERSIFICATION, MARKET PARTICIPANTS, MARKET PRICES, MARKET SEGMENTS, MARKET SHARE, MARKET SHARES, MARKET SIZE, MARKET TRADING, MARKET TRENDS, MARKETING, MERCHANDISE, MERCHANDISE EXPORTS, MERCHANDISE IMPORTS, MERCHANDISE TRADE, METAL PRODUCTS, MUTUAL TRADE, NATIONAL BANK, NATURAL RESOURCES, NEGATIVE SHOCK, OIL PRICE, OPEN ECONOMY, OPPORTUNITY SET, PATTERNS OF TRADE, PREFERENTIAL MARKET ACCESS, PRICE ADVANTAGES, PRICE CONTROLS, PRICE INDEX, PRICE LEVEL, PRICE MOVEMENTS, PRICE REGULATION, PRIMARY GOODS, PRODUCT MARKETS, PRODUCT QUALITY, PRODUCTIVITY, PRODUCTIVITY GROWTH, PROFIT MARGINS, PROPERTY RIGHTS, PURCHASING, PURCHASING POWER, REAL GDP, RESERVES, RETAIL, RETAIL PRICES, RISK SHARING, SALE, SALES, SALES MARGINS, SERVICES MARKET, SHARE OF INVESTMENT, SOCIAL NETWORKS, SOFT BUDGET CONSTRAINT, SPECIALIZATION, SUBSTITUTE, SUPPLIERS, SUPPLY CHAINS, TARIFF BARRIERS, TAX, TAX POLICY, TAXATION, TECHNOLOGY TRANSFER, TERMS OF TRADE, TOTAL SALES, TRADE BALANCE, TRADE CREDIT, TRADE DATA, TRADE DEFICIT, TRADE DISPUTES, TRADE FLOWS, TRADE INTEGRATION, TRADE OPENNESS, TRADE PARTNERS, TRADE PATTERN, TRADE PATTERNS, TRADE PERFORMANCE, TRADE POLICY, VALUE ADDED, VOLATILITY, WAGES, WORLD MARKET, WORLD MARKETS, WORLD PRICES, WORLD TRADE, WTO,
Online Access:	http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000333038_20100928233414 https://hdl.handle.net/10986/2908
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