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9.01.2014

Barys Zhaliba: Exotic taxes will not save the economy 18

13:06, — Economics

Barys Zhaliba: Exotic taxes will not save the economy

Raising prices and introducing new taxes will not solve Belarus economys structural problems.

This is how a PhD in economics professor Barys Zhaliba commented for the charter97.org web-site on the price raise on a number of goods and introduction of new taxes in 2014.

These are the consequences of the economic policy implemented by the authorities in the recent years, and the consequences of the fact that Belarusian economy is incapable of operating without external loans. But those that we do get are already not enough, which of course finds a reflection in the budget. It has become obvious that with the taxes and predictions that were there it will be impossible to make ends meet. That is why the authorities started looking for new sources for budget incomes, so the main source was found the incomes of the populations, in other words our pockets. That is why most price raises and exotic takes will also be paid for from our pockets. This is an increasingly obvious policy course, which will proceed, because with one hand the state raises salaries and with the other takes these real incomes from us with taxes, duties etc. This once again shows that the Belarusian economic model have had its day and gone bankrupt, but neither the government, nor Lukashenka want to change its nature, reform and put it on market rails, - the economist emphasized.

The expert is convinced that increasing prices and introducing new taxes will not solve Belarusian economys structural problems, but will only give the incumbent authorities a break.

It is not the first time that I am saying that the Belarusian authorities live by the principle: stay the day, hold the night. These two billion from Russia will allow avoiding the roubles collapsing devaluation at least in the first half-year and more or less survive through the year. Then there is the hope that from 1 January 2015 Russia will let Belarus keep export duties on oil products made from Russian oil in Belarus budget. The hope goes only for that, which in the best case will amount up to 4 billion dollars. This will enable to raise the salary of the people and hang on past the elections. This is how the Groundhog Day will go on. Belarusian economy has long been an appendage of the Russian and is incapable of existing without it. The Belarusian authorities will never take up market reforms and will keep existing like that: get something from Russia and get re-elected for another five years. This is how we will be living without a significant progress, alas. I do not see, like they say, light at the end of the tunnel or perspectives, - Barys Zhaliba summarized.

We would remind that starting from 1 January 2014 new taxes have been introduced in Belarus and prices raised for a number of goods.

Photo: Radio Svaboda


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