Government to take additional measures

Production modernisation should raise revenue per capita employed
By Vasily Kharitonov

Modernisation of Belarusian economy high on agenda as Deputy Prime Minister Piotr Prokopovich delivers report to President of Belarus Alexander Lukashenko.

Modernisation is vital to the well-being of the nation, helping raise labour efficiency and, ultimately, salaries, bringing better living standards, a stable foreign trade surplus and competitiveness for Belarusian products. The Head of State constantly monitors modernisation and holds the Government answerable for progress in this area.

The Deputy PM’s report informed the President that the first six months of 2013 have seen modernisation at 3,680 state owned enterprises and about 1,000 private companies, including small and medium-sized. Major ventures are being launched using foreign and Belarusian capital.

However, Mr. Prokopovich admitted that annual targets are not being met, with the first half of this year seeing individual earnings rise by 11.5 percent (against 2012), against a target of at least 25 percent. 

From January-July 2013, fixed capital investments stood at 108.8 percent (against 2012): slightly above the target of 106 percent. However, modernisation goals are yet to be met, with fewer than half of enterprises on schedule. Mr. Prokopovich believes that additional incentives are needed to accomplish our goals, and sees management as the sphere most in need of reform. He explains, “No cutting-edge equipment and technologies will be effective if an efficient management system is lacking, alongside a system to motivate workers, enforcing strict discipline and technologies. If we fail, we won’t be able to use our technical modernisation resources effectively.”

He underlined to the President that it’s necessary to create an economic management system to ensure competitiveness for Belarusian goods and their conformance with top world standards. “Unfortunately, we currently lag behind, which leads to being uncompetitive in many areas,” said the Deputy PM.

The Head of State has requested that all necessary measures be taken to ensure that goals are met fully by the modernisation programme for 2013, including making headway in modernising the entire economy by 2014-2015. Mr. Prokopovich assured Mr. Lukashenko that the Government will be doing its best to fulfil the instructions of the Belarusian President.
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