ANNOUNCEMENT 08 Jul 2013In July 2013, the government of Belarus announced a change to private-sector financial support.
NUMBER OF INTERVENTIONS
With Decree 301 of July 8, 2013, was stipulated that the Council of Ministers of Belarus must submit for pre-approval to the President lists of legal entities, which subsequently can take advantage of state support for investment projects.
According to the decree, legal entities that implement investment projects in the period 2014-2017 will be able to get a refund on their interest payments on bank loans (without any increase of the state's share in their authorised capital).
The condition for the provision of state support is the achievement until 2016 of value added per worker not below the average thresholds set in the annex of Decree No. 301. In particular, for projects in the production of fuel and energy minerals the threshold annual value added per employee is set at USD 117,000; for food, beverages and tobacco - at USD 35,400; for textiles - at USD 22,000; for wooden products - at USD 16,600; for chemicals - at USD 134,000, for pharmaceuticals - at USD 45,300; for vehicles and equipment - at USD 53,500.
Article 3.3 of Decree No. 301 stipulates that within three months a list of eligible juridical persons as beneficiaries must be prepared and sent to the President of the Republic of Belarus. This list is not publicly available. Therefore, the GTA has identified the affected trading partners and sectors on the basis of the annex of Decree No. 301 and 9 juridical persons that benefit under Decree No. 579 of 16 June 2014. It constitutes the first implementation legal act, related to the framework measure under Decree No. 301.
Decree No. 301 enters into force on 1 January 2014.