Proprietors May Lose the Right to Dispose of their Property

According to Paragraph 1 Article 12 of the Act, objects, classified as state-owned only and located in the ownership of non-governmental organizations or individual persons on the date of enactment of the law, may not be the subject of mortgage, trust management, lease and gratuitous use. They are not the subject for other transactions as well, except for the deals, making the facilities at the state’s disposal, unless other points are stipulated by laws or acts of the President of Belarus, BelTA informs.

As noted in the State Property Committee (SPC), state-owned objects include objects and types of property to ensure the territorial integrity of the state, its economic and energy security, as well as social protection of population. Part of the objects will remain in state ownership due to the fact of having a state-owned status at the date of enactment of the law or being newly put into operation by the republican and local budgets.

The purpose of the law, as reported in the SPC, is the further liberalization of economy and involvement investors, interested in long-term economic relations and enhancing the competitiveness of enterprises to be privatized. These enterprises include Navapolatsk oil transportation «Druzhba,» «Gomeltransneft «Druzhba,» republican diamond unitary enterprise «Gomel «Kristall,» which are to be converted into JSC until the end of 2010.

Belarus Allowed to Establish Private Airfields

Roads, rail public transport, airports and civil defense facilities may now be in private ownership. In addition, the creation of private institutions of social protection, education, health and manufacture of alcoholic beverages have been authorized.

The House of Representatives of Belarus passed this law on June 10, 2010, which was approved by the Council of the Republic on June 30 and signed by the president on July 15.