20.01.2012
SES to fuel Belarus economy growth
MINSK, 20 January (BelTA) – Belarus’ participation in the Single Economic Space (SES) will contribute to the national economy growth. The opinion was voiced by Professor Mikhail Kovalev, Dean of the Economy Department of the Belarusian State University, at a video briefing in Minsk on 20 January.
The expert said that over the last fifteen years Belarus has been demonstrating decent GDP growth, with the figure exceeding 7% every year. “It is a very high figure. I am convinced that at the end of the current five-year term the growth rate will be at least 7% although GDP grew by 5.3% in 2011 and this year it is expected to do the same”. Mikhail Kovalev said the GDP growth may exceed expectations thanks to the Single Economic Space, establishment of joint logistics and R&D programs.
The Professor believes that the Customs Union could follow the example of the European Union and transfer all the customs duties to the budget of the future Eurasian Union. “The budget could be used to build an infrastructure to transport commodities from intensively developing China to Europe. It could be used to build a couple of oil refineries or petrochemical factories in order not to transport crude oil to the West but sell refined oil products. There are very many prospects,” he said.
Speaking about results of Belarusian-Russian integration, Mikhail Kovalev said the potential is great, however, the countries should enable equal economic terms to fully exploit it. “We’ve been working on the Russian market for a long time. Our commodities sell well there. When we are told that Belarusian products oust Russian ones, it is totally not true. We should hold on to our share in Russia’s market. To make it happen, we need equal economic terms so that those, who buy Belarusian goods, could have an access to Russian loans just like those, who buy Russian goods, do”. Equal prices for energy resources are another important condition. “Within the framework of the Single Economic Space our manufacturers should be able to buy energy resources just like Russian ones do. It is clear that a product made using more expensive gas and oil will be less competitive. Prices for energy resources should be equal. Then economic operation terms will be equal,” said Mikhail Kovalev.
The expert said that over the last fifteen years Belarus has been demonstrating decent GDP growth, with the figure exceeding 7% every year. “It is a very high figure. I am convinced that at the end of the current five-year term the growth rate will be at least 7% although GDP grew by 5.3% in 2011 and this year it is expected to do the same”. Mikhail Kovalev said the GDP growth may exceed expectations thanks to the Single Economic Space, establishment of joint logistics and R&D programs.
The Professor believes that the Customs Union could follow the example of the European Union and transfer all the customs duties to the budget of the future Eurasian Union. “The budget could be used to build an infrastructure to transport commodities from intensively developing China to Europe. It could be used to build a couple of oil refineries or petrochemical factories in order not to transport crude oil to the West but sell refined oil products. There are very many prospects,” he said.
Speaking about results of Belarusian-Russian integration, Mikhail Kovalev said the potential is great, however, the countries should enable equal economic terms to fully exploit it. “We’ve been working on the Russian market for a long time. Our commodities sell well there. When we are told that Belarusian products oust Russian ones, it is totally not true. We should hold on to our share in Russia’s market. To make it happen, we need equal economic terms so that those, who buy Belarusian goods, could have an access to Russian loans just like those, who buy Russian goods, do”. Equal prices for energy resources are another important condition. “Within the framework of the Single Economic Space our manufacturers should be able to buy energy resources just like Russian ones do. It is clear that a product made using more expensive gas and oil will be less competitive. Prices for energy resources should be equal. Then economic operation terms will be equal,” said Mikhail Kovalev.