ANNOUNCEMENT 06 May 2013In May 2013, the government of Belarus announced a change in private-sector financial support.
NUMBER OF INTERVENTIONS
"" . 6 2013 . 346
?Shchuchinsky butter-cheese factory?
With Decree 346 of May 6, 2013, the Council of Ministers of Belarus authorised the compensation of the Belagroprombank in 2013-2014 for the export loan (11 Mio. USD) it issued to the state-owned «Shchuchinsky butter-cheese factory» based on commercial interest reference rates (CIRRs). CIRRs are the lowest interest rates, which may be applied under the OECD Arrangement on Guidelines for Officially Supported Export Credits" (European Commission). This compensations indirectly provides «Shchuchinsky butter-cheese factory» with a competitive advantage (through cheaper access to loans), which is most likely to affect foreign commercial interests.
The GTA includes state guarantees and other financial incentives that are likely to affect the restructuring and performance of firms facing international competition, whether from imports, in export markets, and from foreign subsidiaries.