Belarus struggles with foreign trade deficit

According to the National Statistics Committee, in January – September 2014, the foreign trade in goods deficit was USD 1 931 million, and USD 354.8 million in September alone.

Russia’s embargo on food supplies form a number of countries has created favourable conditions for Belarusian food products to be exported. However, due to devaluation of the Russian rouble, exports growth plans in Belarus have needed to be readjusted. In addition, exports of Belarusian engineering products will continue to drop. The state will have to increase loan support for export enterprises, export prices will drop when exporting to the Russian market, and imports of consumer goods from Russia to Belarus will increase due to lower prices. The National Banks’ gradual devaluation policy makes improvements to the foreign trade deficit in 2014 unattainable, even within one month.