Plans for single-digit inflation in Belarus in 2017

MINSK (BelTA) – Belarus intends to reach single-digit inflation figures in 2017. The plans are stipulated by the anti-inflation program adopted by the Council of Ministers and the National Bank of the Republic of Belarus on 31 August 2015, the press service of the Belarus government told BelTA.

In accordance with the document central government agencies and other government agencies that report to the Council of Ministers, the oblast administrations, and the Minsk city administration will have to put efforts into reducing inflation in 2015-2016 for the sake of reaching single-digit levels in 2017. These agencies will have to inform the Economy Ministry about the progress in implementing the program every quarter. In turn, the Economy Ministry will summarize and forward the information to the government.

The anti-inflation program specifies a number of measures concerning monetary policy, fiscal policy, pricing policy, and antimonopoly regulation. The document also envisages several organizational measures. In particular, the monetary policy will use the monetary targeting approach, the situation on the domestic currency market will be balanced, including by means of a flexible exchange rate policy. A balanced increase in the broad money supply will be secured. Plans have been made to adjust the excise tax policy in 2016 with regard to alcohol and tobacco products taking into account the harmonization parameters the Eurasian Economic Union member states have agreed upon and the need to keep Belarusian products competitive.

The implementation of the anti-inflation program is expected to help bring about conditions conducive to faster economic growth and a more effective economic policy in Belarus.