logistic centers 20 Why Belarus? Two words SMART PEOPLE. Belarus has - - PowerPoint PPT Presentation

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logistic centers 20 Why Belarus? Two words SMART PEOPLE. Belarus has - - PowerPoint PPT Presentation

EU -> Belarus -> Russia, Kazakhstan, Kyrgyzstan, Armenia 10 mln EU customers of Belarus Belarus 180 mln Russia Kazakhstan Armenia Kyrgyzstan customers of EEU Transport and logistics infrastructure Total stretch of roads in use:


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EU Belarus Russia Kazakhstan Armenia Kyrgyzstan

EU -> Belarus -> Russia, Kazakhstan, Kyrgyzstan, Armenia

10 mln

customers of Belarus

180mln

customers of EEU

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Total stretch of roads in use:

5 490 km 75 000 km

logistic centers20

railway lines highways

Transport and logistics infrastructure

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“Why Belarus? Two words – SMART PEOPLE. Belarus has a reputation of a country with a high scientific potential”

  • Cliff Reeves, General Manager of Microsoft New Business-Models Development
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KZ; 390

Average nominal salary, USD BY; 300

RU; 520

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Average nominal salary, USD

CH; 740 KZ; 390

BY; 300

RU; 520

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Average nominal salary, USD

CH; 740 KZ; 390

BY; 300

RU; 520

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BELARUS

Italy 45th

Ease of Doing Business Index

Russia 44th Ukraine 51st 55th Turkey 83d China 84th

Doing Business 2016

among the most reformative countries

th

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Doing Business 2016

94 57

BELARUS

Turkey 62nd

Trading Across Borders Rank

China 25th 96th 122th Kazakhstan Protecting minority investors rank

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«Paying Taxes» DB Indicator composition & comparison with Europe & Central Asia Region & OECD

Indicator Republic of Belarus Europe & Central Asia OECD

Payments

(number per year)

7

19,2 11,1

Time

(hours per year )

176

232,7 176,6

Total Tax Rate

(% of profit)

51,8

34,8 41,2

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Countries with comparable level of Total Tax Rate (% of profit)

Country Paying Taxes Rank Total Tax Rate (% of profit) Payments (number per year) Time (hours s per per yea ear ) Spain 60 50,0 9,0 158

Belarus 63 51,8 7 176

Austria 74 51,7 12,0 166 Ukraine 107 52,2 5 350 Japan 121 51,3 14 330 Czech Republic 122 50,4 8,0 405 Jamaica 146 51,3 37,0 358 Cote d'Ivoire 176 51,9 63,0 270

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Tax System of the Republic of Belarus

  • VAT
  • Corporate Income Tax
  • Land Tax
  • Real Estate Tax
  • Social Contributions

Taxes paid in connection with activity implementation

  • Excises
  • Ecological Tax
  • Custom Duties
  • Other taxes, charges, duties

Taxes paid at emergence of specific objects of taxation

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Corporate Income Tax

(8 (8,2 % % of

  • f Genera

General l Gov Governm rnment Bala Balanc nce)

VAT

(27,3 % General Government Balance)

  • 1. The level of rate of 18% - the lowest among the

countries of the Eurasian Economic Union and the majority of Europe countries

  • 1. The

term of refund of “input” VAT accounts 1 month and it is the shortest among the Eurasian Economic Union Countries

  • 2. Tax exemption while producing innovative and high-

tech products

  • 2. VAT exemption of socially significant products and

services (basic set of products, medicines, children’s goods, medical services)

  • 3. Possibility of investment deductions (profit on

development doesn’t liable to tax)

  • 3. Full VAT exemption of the imported manufacturing

equipment

  • 4. Possibility to transfer losses of past years on future

profits

The Influence of Profit Tax & VAT on the Investment Climate

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Preferred Tax System

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Monetary Targeting

Monetary policy target for 2016: limit inflation to 12% (December 2016 to December 2015). Intermediate goal: limit average broad money growth by 16 - 20 % (December 2016 to December 2015). Operational indicator: change in the ruble monetary base.

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Exchange Rate Policy

  • a more flexible exchange rate

policy since January 2015.

  • interventions in order to reduce

sharp daily exchange rate volatility

  • f the national currency only
  • further strengthening of the

exchange rate flexibility by implementing a mechanism of currency trade in the form of continuous double auction

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Monetary Policy

The volume of international reserves is maintained at a sufficient level needed, among others, to make timely repayment of Government’s and the National Bank’s foreign and domestic debts In 2014 the net repaid amount totaled USD 4 billion; in 2015 – USD 3.6 billion Currently, foreign reserves to imports ratio is estimated at a level of 1.5 months

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Dynamics of Banks’ Claims and Term Deposits

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Main Characteristics of the Belarusian Banking Sector

26 banks (5 banks with 100% foreign capital share) Regulatory capital: Assets: Number of banks: USD32.2 billion 72.7% of GDP USD USD3.9 billion 8.9% of GDP 26 operating banks (as of April 01,2016), including: 5 banks controlled by the state 16 banks controlled by foreign capital

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Belarusian Banks’ Sustainability

The regulatory capital requirements:

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