Capital outflow: which companies don`t risk operating in Belarus


According to the Ministry of Foreign Affairs of Belarus, in 2014 236 foreign companies and organizations ceased their operation in Belarus (some of them due to the expiration of permits). There are 128 companies with newly opened offices, as well as those who got their license extended.

Most of the companies that left the Belorussian market are Russian. Each company had its own, generally, economic reasons to close their offices in Belarus. The only exceptions are PSC "Donetsk Metallurgical Plant" and Private JSC "Severodonetsky ORGHIM" located in Luhansk region. They were forced to stop their activities because of the military conflict.

Remarkably, the Russian capital is the first to leave, as well as to develop the Belorussian market. Last year, the Russian companies opened 62 representative offices in Belarus. They made about a half of the total number of new foreign businesses and public organizations. Most of them are businesses known in narrow segment industries only.

Still some major representatives of the Russian business opened their offices in Belarus. For example, "Concern "Radiotechnical & Informational Systems" owned by the billionaire Vladimir Yevtushenkov. The Russian branches of multinational corporations "Danfoss", "Metso Minerals CIS", "General Motors Auto", "Henkel Rus", as well as "Festina-invest" - the Belorussian company working in the Russian Federation registered their offices in Belarus.

Last year two offices of the Kazakhstani companies and one office of the Azerbaijani Ganja Automobile Plant were opened in Belarus. The Ukrainian businessmen opened five offices, including the "Kreativ" company, which plans to build a large soybean processing plant.

As for the representatives of the European Union, the most active businessmen have traditionally been those from the Baltic countries who opened 17 offices: 9 Lithuanian, 6 Latvian and 2 Estonian companies. In 2014, there were also registered offices of companies and institutions from Poland, Austria, Bulgaria, Cyprus, the Czech Republic, the Netherlands, Croatia, Ireland, Great Britain, Germany, Slovenia and Hungary.

The Belorussian market interested two companies from Switzerland, three from Turkey, as well as the China Railways, the businessmen from India, Singapore, the United States, Chile, Iran. Last year the office of the Emirati company RiyadaInvestment was opened in Belarus, the management of which met with Alexander Lukashenko in 2013.

Text and pictures by TUT.BY