Thursday, February 25, 2016

Vladimir Putin and Alexander Lukashenko approved the budget of the Union State – BBC

Vladimir Putin and Alexander Lukashenko approved the budget of the Union State of Russia and Belarus.

the current year’s budget will amount to 4.8 billion rubles. This amount was approved on Thursday in Minsk at a meeting of the supreme council of the two states. At the same time Russia has made 65% of this amount

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budget weighed as much as last year. Thus, the Kremlin has made it clear that despite the economic crisis in relations between the two countries are in the active phase. At this time in the Supreme State Council arrived, and the president and prime minister, even a little surprised Alexander Lukashenko. At a meeting with Putin, Lukashenko asked Putin: “Dear Dmitry Anatolyevich,” – that is, by name Premier Medvedev. “That’s right, money is out there”, – Putin joked, nodding toward Medvedev and members of the government

The Belarusian leader a quick fix.. Lukashenko expressed the hope that the economic crisis will not prevent the strengthening of the Union State. Putin assured that will not interfere, because the union state – the driver of the integration processes. “The importance of the Union State in no way lost. On the contrary, the Union State is developing successfully and to a certain extent, even become a driver of development of integration processes on the post-Soviet space “- said the Russian leader

By meeting the supreme council was formed the agenda of 13 issues that affect almost all. areas of cooperation, from investment to humanitarian. For example, in Grodno region of Belarus “Rosatom” in 2012 builds nuclear power capacity of 2400 MW. Cost of the project -. $ 10 billion launch of the first unit is scheduled for 2018. “Is in full swing construction of a nuclear power plant. The volume of Russian investment in the project amounts to $ 10 billion, “- said Putin

In addition, President Vladimir Putin, Prime Minister Dmitry Medvedev and Minister of Energy Alexander Novak confirmed the news that

up to 2020 the Russian “Gazprom” plans to invest in the development of the gas transport system of $ 2-2.5 billion in Belarus, and in the increase in underground gas storage facilities – $ 1.1 billion ».

Strong shoulder

The local media and political analysts are wondering: Will the Kremlin intends to continue to fund an ally? Do good to give another loan, this time? Lukashenko himself said earlier that, if necessary, Russia is “always lean on.” And it is the shoulder of Vladimir Putin and Dmitry Medvedev. “I have a firm agreement with the President and the Prime Minister, if it will be difficult, it will be difficult – Russian shoulder substitute. I quoted Putin “, – Lukashenka said at a press conference in Minsk a year ago

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Live Lukashenka money this time, it is not likely to get, but progress can be achieved on earlier agreements. February 5 Lukashenka met with Putin in Sochi. Belarus is seeking the transfer of the sixth tranche of the previously given loans. We are talking about $ 440 million through the Eurasia Foundation stabilization and development (EFSR).

Another request of the Belarusian leader was seen in December last year at the Eurasian Fund. On the first loan of $ 3 billion, and then at least $ 2 billion. But the decision on the allocation and tranche and the new loan is still pending. Belarus has not fulfilled the conditions of the loan, he stated in an exclusive interview to “Gazeta. Ru »Chairman of the Eurasian Development Bank, Dmitry Pankin. I do not give consent, and the Russian Ministry of Finance. Belarus has not been raised tariffs for housing and communal services, transport, is not fully implemented program of privatization of state assets necessary for the stabilization of the budget and improve the balance of payments, noted the Ministry of Finance

In addition EFSR depends on the major donor -. Budget Russia, and in the budget for this year is planned deficit of 3% and the additional money for the integration seems to be there.

borrowed Life

Trade shrank

Russian exports to Belarus showed a negative trend: in 2013 it fell by 19% in 2014 to 2%, in 2015 – by 23.8%. Last year, a 26% reduction in Russian exports of crude oil and crude oil products, 40% – paper and cardboard, 32% – non-precious metals.

Russia’s imports from Belarus showed a more negative trend in the last 3 years – there was an increase of 4.2% in 2014, falling by 13.7% in 2015 to 2013 – a decline of nearly 30%. At the same time last year at 64% down imports of oil and oil products, 63% – ferrous metals

Calculations World Trade Center on the basis of the FCS statistics

Lukashenko has repeatedly claimed that did not like to borrow. But he has no choice. Belarus is in dire need of financial assistance. EurAsEC Anti-Crisis Fund decided to allocate stabilization credit to Minsk in June 2011 in the amount of $ 3 billion, of which the republic has already received five tranches of $ 2.56 billion. In 2014 the Russian VTB Bank approved the provision and phased issuance of loans for a total of Belarus up to $ 2 billion to replenish international reserves.

to take more and more new loans forced Lukashenko including servicing the external debt. At the peak of the national debt reached $ 17 billion, as of January 1, 2015, according to the Ministry of Finance of Belarus, is $ 12.6, or 16.6% of GDP.
lend such a partner of the Russian side is problematic. The more that the turnover between the two countries is reduced for three consecutive years. In 2015, mutual trade has fallen off by 26% – to $ 27.5 billion in part, however, due to lower world oil prices

Behind closed doors

Most likely, on.. he met Kremlin resumed its discussion of a number of integration projects in the real sector of the economy. The thing is that the condition of allocation of financial subsidies for Moscow Minsk – transfer under Russian control a number of Belarusian enterprises that have fundamental importance for Russia. But as for political reasons, just to give them Russian property the Belarusian authorities can not, in all cases we are talking about the creation of some “Belarusian-Russian industrial projects»

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A number of such projects was actively discussed during 2011-2014; the Russian side was in charge of these questions Deputy Prime Minister Arkady Dvorkovich. The most notable of them – creation of Automobile Holding “Rosbelavto” (MAZ + Kamaz), electronic holding ( “Integral” + “Russian Electronics”), for the production of wheeled chassis holding company for strategic missile systems and other military equipment (Minsk Wheel Tractor Plant + GK “Rostec”), the holding company for optics and electronics production for military and space systems ( “Bearing” + Roscosmos), fertilizer holding company ( “Grodno Azot” + “EuroChem»).

However, all of these projects as well as several others, eventually came to nothing. Regarding “Rosbelavto” Lukashenko said that the project is unprofitable Belarus, and about MZKT simply said: “No one will not give up!»

In 2015, the issue of the resumption of negotiations on the said draft was not even raised. But in early 2016, according to a source “Gazety.Ru” in the Belarusian government, the Russian government came initiative: an audit of the state of integration projects and to discuss them. And in this case it is not just about the projects that were discussed in 2011, 2014′s, but also the new, possibly with the participation of Belarusian oil refineries and such enterprises as “Gomeltransoil” or Gomel Chemical Plant (GHZ).

blue-eyed looks at the West

If Lukashenka does not get beat in Moscow the next portion of financial support, he turned for help to the West.

The multi-vector – the strong side of the Belarusian leader. Lukashenko does not hide that he is ready to be friends not only with Moscow. Especially that the Eurasian Union, the Belarusian president, did not become a full-fledged union. Belarus Interests in this alliance infringed, are “trade war” between Belarus and Russia. Lukashenko threatened to even get out of the EAEC

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Perhaps by coincidence but on February 23 in Minsk arrived EU delegation headed by the deputy head of the European Commission Catherine Maternovoy and Vice-President of the European investment Bank Laszlo Baranaev. We are in negotiations was including the receipt of funding from the European and international financial institutions.

And yet Lukashenko is ready to make friends with NATO.

last year, during a speech before the army commanders of the Belarusian Lukashenko made it clear that the military concept of Belarus has radically changed: now the authorities are “kept in mind” the possibility of a Russian invasion, and for the sake of independence, are ready to cooperate with NATO. Earlier Lukashenko called NATO not only as “a monster, blue-eyed creeps up to the borders of Belarus.” However, at a meeting with Putin, Lukashenko said that “the continuing military and political crises, the return of a number of countries to the bloc mentality, widespread use of sanctions as an instrument of political pressure are forcing us to keep our powder dry».

In any case, Minsk and Moscow will continue to play in the Union State, since its construction a lot of time and money has been invested. “In the end, the Union State – is inertia and tradition. But the format of the Union State, established in 1999, is now lost its meaning. Lukashenka himself has repeatedly made it clear that it is not prepared to tolerate over a no boss and will not give consent to the formation of some new unified structure “, – said the first vice-president of the Center for Political Technologies, Alexei Makarkin

but the Union State – is not only an economic union but also political and military. Lukashenko -. Partner inconvenient, costly, but important security issues

After the Ukraine in economic terms “left” under the European Union and came under NATO military custody, can come true nightmare Russian “hawks “- NATO tanks in Kharkov. If you do not support Lukashenka financially, then “these tanks may be in Vitebsk near Smolensk,” the expert adds.

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