The modern economy of Belarus

The national economy of the Republic of Belarus, according to the state concept, is socially oriented, open, export-oriented, with significant scientific and innovative potential. In the days of the USSR, the region was called the "assembly shop" of the country, of which Belarus is still today, maintaining close industrial ties with Russia, Ukraine, and other CIS countries.

Economy of Belarus

Economic indicators

Since the Belarusian economy is open for export, it is highly affected by external factors of fluctuations in the global, and especially Russian, economies. The consequences of the global crisis, the stagnation of the industry of the Russian Federation due to sanctions and the collapse of the cost of hydrocarbons, the "subsidence" of the Ukrainian market painfully hit all areas of the country. There was a decline in GDP, a weakening of the Belarusian ruble, unemployment is growing, and as a result, the standard of living of citizens has noticeably worsened.

To determine the level of economic development of the country and the results of economic activity, the main economic indicator is used - gross domestic product. In 2014, the national economy of Belarus reached excellent GDP indicators - over $ 77 billion, or about $ 8,000 per person. For comparison: in 2010, GDP was just over $ 60 billion ($ 6,100 per person). However, these successes were achieved before the regional crisis erupted at the end of 2014. The 2015 financial results are expected to be less impressive.

Economy of the Republic of Belarus

GDP structure

As before, the industrial sector made a leading contribution to the development of the Belarusian economy . It accounts for a quarter of GDP. With a twofold lag, trade and construction follow. The statistics for 2014 are as follows:

  • industry - 24%;
  • trade - 12.1%;
  • taxes on products - 12.1%;
  • construction - 10.4%;
  • communication and transport - 7.9%;
  • agriculture and forestry - 7.1%;
  • other industries - 25.8%.

Leading trade partners: Russia (more than 40% of exports and 50% of imports), European countries (30% of exports and about 20% of imports), in particular, Ukraine, the Netherlands, Great Britain, Lithuania, Germany, Italy, Poland. Trade with China, Brazil, Venezuela, Kazakhstan, India, Turkey and other countries is developing dynamically.

National Economy of the Republic of Belarus

Market economy

Belarus, as a target socio-economic development model , is considering a socially-oriented version of market relations. The economy of Belarus is based on:

  • ensuring personal rights and freedoms of citizens;
  • priority aspiration of people to increase their well-being;
  • creating strong social protection;
  • free enterprise;
  • liberalization of various areas of economic activity;
  • development of competition;
  • promoting the international division of labor.

At the first stage of its development, direct state regulation is used in areas where, in fact, market self-regulation is ineffective. Innovative development involving external and internal investments is also of great importance.

The problem of unprofitable enterprises

In Belarus, the share of unprofitable organizations annually varies between 20-25%, mostly in large and medium-sized cities, Grodno, Minsk and Smolevichi districts, mainly in trade and public catering, partly in industry. To increase profitability, it is necessary to reduce production costs, to reduce its material consumption and energy intensity.

National Economy of Belarus

Farm structure

The economy of the Republic of Belarus is determined by the ratio of the individual components of the economy and the relationships between them. Since 2011, a new classifier of types of economic activity has been applied in Belarus. In contrast to the sectoral (Soviet) division of the economy, now the whole diversity of types of economic activity is divided into mining, processing and providing services.

Mining includes a wide range of areas of activity related to agricultural production, hunting, forestry, fishing and fish farming, and the mining industry itself (potassium salts, building materials, hydrocarbons, etc.). The manufacturing industry is responsible for the processing of raw materials, production, distribution of electricity, water, gas. Financial activities, trade, education, government, transport, communications are listed in the "providing services" column.

The development of the Belarusian economy

Past and future

Traditionally, the Belarusian economy was agrarian-oriented, where logging, trade and crafts played an important role. Such a republic remained until the middle of the twentieth century. The explosive growth of industry began in the 60s, due to the construction of new giant enterprises, which became the locomotive of the entire sector, high-tech industries, and the development of natural deposits of potash fertilizers and oil began.

At the same time, the agricultural sector not only retained a significant position, but was improved by the introduction of new technologies, the development of agricultural science, and the availability of new agricultural equipment thanks to the products of local machine-building enterprises. The famous Belarus tractors are produced in Minsk, and the production of a full range of mechanized aggregates has also been launched: from simple seeders to high-tech combines. Today's economy of Belarus is agrarian-industrial.

Structural reforms have ripened in Belarus. The stake is on high technologies in agriculture and industrial production, the IT industry, the development of tourism, the use of the logistics potential of a transit country, the modernization of production based on local raw materials, etc. The government implements a number of large investment projects, the largest of which may be construction giant industrial park "Great Stone" in collaboration with Chinese partners. An important trend is efforts to diversify the economy and establish business, friendly interpersonal and political ties with countries and regions of all continents.


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