May 17, Russian Finance Minister Alexei Kudrin said that negotiations on $3 billion loan for Belarus from EurAsEC fund can be completed in the coming days. According to him, Belarus has agreed to the conditions, laid down by the Russian side. On condition of negotiations' success, Belarus will annually receive $1 billion from 2011 to 2013.
«Appropriate conditions are formulated within the framework of crisis fund, which are now considered by the Republic of Belarus. Today we’ve heard that, in principle, there has been reached an agreement after a telephone conversation between Alexander Lukashenko and Dmitry Medvedev and Belarus is ready to receive a credit. This means that previously formulated conditions have been adopted, which could mean the possibility of completing negotiations in the coming days,» RIA «Novosti» news agency quoted Alexei Kudrin.
Meanwhile, loan provision details will eventually have to be clarified during the visit of Russian Prime Minister Vladimir Putin in Minsk, scheduled for May 19 during the session of CIS Council of Heads of Government. Alexei Kudrin says that Russia has laid down «standard terms for Belarus to cover the balance of payments.»
Alexei Kudrin said that Russia had previously granted $3 billion loans to Minsk. According to him, these loans are served without delays. In this regard, the finance minister expressed confidence in the fact that the EurAsEC countries wouldn’t oppose the allocation of credit to Belarus.
«We’re keeping contact with other countries, including Kazakhstan, informing them about each of the next round. I have no doubt that the decision will be taken at the conclusion of the negotiations if Belarus accepts the terms of agreement,» said Alexei Kudrin.
«We will hold a standard procedure of Crisis Fund with the participation of the Council of Ministers of Crisis Fund of Kazakhstan, Kyrgyzstan, Tajikistan and Armenia. The decision can be taken by the Board of Directors with the participation of all members of the Crisis Fund,» said Russian Finance Minister.
«We see an understanding of the Belarusian part of those goals and objectives to stabilize the balance of payments. Reducing the current account deficit of balance of payments is among the key indicators monitored,» said Minister of Finance.
Belarus Intends to Privatize SOEs of up to $3 Billion in 2011, Russia’s Finance Ministry
The head of the Russian Finance Ministry has also said that the Belarusian authorities are going to sell a number of enterprises, totaling $3 billion. According to Kudrin, the privatization is needed in Belarus «to maintain the balance of payments.»
«The Belarusian side will establish itself, what these assets are and what their timeframe is. It is about $3 billion, calculated on this year’s results,» noted Minister of Finance. He explained that the process of privatization of Belarusian enterprises is open to all interested countries and investors. At the same time, Alexei Kudrin has stressed that all enterprises should be privatized on general conditions.
Russia’s Finance Minister says that the privatization of SOEs is an important source of repayment of balance of payments deficit. «The very terms of loan provision stipulate the necessary amount of resources to mobilize through asset sales and foreign direct investment,» the head of Finance Ministry.
