| − | The constitution provides for a directly elected president who serves a 5-year term. The bicameral parliament consists of the 64-seat Council of the Republic and the 110-seat House of Representatives. The Council of the Republic is the house of territorial representation. Eight members of the Council are appointed directly by the president of the Republic of Belarus, while local regional councils elect the rest. The deputies to the House of Representatives are elected directly by the voters. The president appoints the prime minister, who is the head of government. | + | The constitution provides for a directly elected president who serves a 5-year term. The bicameral parliament consists of the 64-seat Council of the Republic and the 110-seat House of Representatives. The Council of the Republic is the house of territorial representation. Eight members of the council are appointed directly by the president of the Republic of Belarus, while local regional councils elect the rest. The deputies to the House of Representatives are elected directly by the voters. The president appoints the prime minister, who is the head of government. |
| | As part of the former Soviet Union, Belarus had a relatively well-developed industrial base; it retained this industrial base following the breakup of the U.S.S.R. The country also has a broad agricultural base and a high education level. Among the former republics of the Soviet Union, it had one of the highest standards of living. But Belarusians now face the difficult challenge of moving from a state-run economy with a high priority on military production and heavy industry to a civilian, free-market system. | | As part of the former Soviet Union, Belarus had a relatively well-developed industrial base; it retained this industrial base following the breakup of the U.S.S.R. The country also has a broad agricultural base and a high education level. Among the former republics of the Soviet Union, it had one of the highest standards of living. But Belarusians now face the difficult challenge of moving from a state-run economy with a high priority on military production and heavy industry to a civilian, free-market system. |
| − | After an initial outburst of capitalist reform from 1991–94, including privatization of state enterprises, creation of institutions of private property, and development of entrepreneurship, Belarus has greatly slowed under Lukashenka, and in many cases, reversed its pace of privatization and other market reforms while emphasizing the need for a "socially oriented market economy." About 80% of all industry remains in state hands, and foreign investment has been hindered by a climate hostile to business. The banks, which had been privatized after independence, were renationalized under Lukashenka. The government has also renationalized companies using the "Golden Share" mechanism, which allows government control in all companies with foreign investment, as well as through other administrative means. | + | After an initial outburst of capitalist reform from 1991 to 1994, including privatization of state enterprises, creation of institutions of private property, and development of entrepreneurship, Belarus has greatly slowed under Lukashenka, and in many cases, reversed its pace of privatization and other market reforms while emphasizing the need for a "socially oriented market economy." About 80% of all industry remains in state hands, and foreign investment has been hindered by a climate hostile to business. The banks, which had been privatized after independence, were renationalized under Lukashenka. The government has also renationalized companies using the "Golden Share" mechanism, which allows government control in all companies with foreign investment, as well as through other administrative means. |
| − | Economic output, which declined for several years, revived in the late 1990s and early 2000s, but the economy has been dependent on heavy discounts in oil and natural gas prices from Russia. Belarus has historically re-exported the oil and oil products at world market prices, using the windfall profits to subsidize state enterprises. In December 2006, Belarus and Russian gas giant Gazprom signed a deal which will eventually end Russia's subsidies of gas for Belarus. Under the deal, Gazprom raised prices for Belarus gas deliveries in 2007 to $100 per 1,000 cubic meters, a significant rise from the subsidized previous price of $46, but still far less than the price paid by EU member states. The price for Russian gas will continue to increase incrementally until 2011, when it will equal the price paid by EU members. However, Belarusian officials stated in late 2008 and early 2009 Belarus’ interest in postponing the rise to EU prices until 2014-2015. Under the 2006 agreement, Gazprom will also gradually acquire a 50% stake in Beltransgaz, the Belarusian gas pipeline firm. In January 2007, Russia followed up with a steep duty on oil deliveries, which caused a significant drop in revenue from exports of oil products and Russian-sourced crude oil. The increase in gas prices and simultaneous moves by Moscow to reduce the profitability of refining Russian oil in Belarus for re-export disrupted plans to upgrade industries ranging from oil refining to cement production. | + | Economic output, which declined for several years, revived in the late 1990s and early 2000s, but the economy has been dependent on heavy discounts in oil and natural gas prices from Russia. Belarus has historically re-exported the oil and oil products at world market prices, using the windfall profits to subsidize state enterprises. In December 2006, Belarus and Russian gas giant Gazprom signed a deal which will eventually end Russia's subsidies of gas for Belarus. Under the deal, Gazprom raised prices for Belarus gas deliveries in 2007 to $100 per 1,000 cubic meters, a significant rise from the subsidized previous price of $46, but still far less than the price paid by EU member states. The price for Russian gas will continue to increase incrementally until 2011, when it will equal the price paid by EU members. However, Belarusian officials stated in late 2008 and early 2009 Belarus’ interest in postponing the rise to EU prices until 2014–2015. Under the 2006 agreement, Gazprom will also gradually acquire a 50% stake in Beltransgaz, the Belarusian gas pipeline firm. In January 2007, Russia followed up with a steep duty on oil deliveries, which caused a significant drop in revenue from exports of oil products and Russian-sourced crude oil. The increase in gas prices and simultaneous moves by Moscow to reduce the profitability of refining Russian oil in Belarus for re-export disrupted plans to upgrade industries ranging from oil refining to cement production. |
| | Peat, the country's most valuable mineral resource, is used for fuel, for fertilizer, and in the chemical industry. Belarus also has deposits of clay, sand, chalk, dolomite, phosphorite, and rock and potassium salt. Forests cover about a third of the land, and lumbering is an important occupation. Potatoes, flax, hemp, sugar beets, rye, oats, and wheat are the chief agricultural products. Dairy and beef cattle, pigs, and chickens are raised. Belarus has only small reserves of petroleum and natural gas, and it imports most of its oil and gas from Russia. The main branches of industry produce tractors and trucks, earthmovers for use in construction and mining, metal-cutting machine tools, agricultural equipment, motorcycles, chemicals, fertilizer, textiles, and consumer goods. The chief trading partners are Russia, [[Germany]], Ukraine, and [[Poland]]. | | Peat, the country's most valuable mineral resource, is used for fuel, for fertilizer, and in the chemical industry. Belarus also has deposits of clay, sand, chalk, dolomite, phosphorite, and rock and potassium salt. Forests cover about a third of the land, and lumbering is an important occupation. Potatoes, flax, hemp, sugar beets, rye, oats, and wheat are the chief agricultural products. Dairy and beef cattle, pigs, and chickens are raised. Belarus has only small reserves of petroleum and natural gas, and it imports most of its oil and gas from Russia. The main branches of industry produce tractors and trucks, earthmovers for use in construction and mining, metal-cutting machine tools, agricultural equipment, motorcycles, chemicals, fertilizer, textiles, and consumer goods. The chief trading partners are Russia, [[Germany]], Ukraine, and [[Poland]]. |