RESOLUTION OF COUNCIL OF MINISTERS OF THE REPUBLIC OF BELARUS

of November 4, 2006 No. 1475

About approval of the Main directions of social and economic development of the Republic of Belarus for 2006-2015

According to article 3 of the Law of the Republic of Belarus of May 5, 1998 "About the state forecasting and programs of social and economic development of the Republic of Belarus" the Council of Ministers of the Republic of Belarus DECIDES:

1. Approve the Main directions of social and economic development of the Republic of Belarus for 2006-2015 (are applied).

2. To the Ministry of Economics to bring the Main directions of social and economic development of the Republic of Belarus for 2006-2015 to republican state bodies, other state organizations subordinated to the Government of the Republic of Belarus, regional executive committees and Minsk Gorispolkom.

3. To the republican state bodies, other state organizations subordinated to the Government of the Republic of Belarus, regional executive committees and the Minsk Gorispolkom to use provisions of the Main directions of social and economic development of the Republic of Belarus for 2006-2015 in case of development of medium-term programs and annual forecasts of social and economic development of the Republic of Belarus, and also appropriate programs and forecasts for economic complexes and industries of economy, for administrative and territorial units.

 

Approved by the Resolution of Council of Ministers of the Republic of Belarus of November 4, 2006 No. 1475

The main directions of social and economic development of the Republic of Belarus for 2006-2015

Introduction

The main directions of social and economic development of the Republic of Belarus for 2006-2015 (further - the Main directions) are developed according to the Law of the Republic of Belarus of May 5, 1998 "About the state forecasting and programs of social and economic development of the Republic of Belarus" (Vedamastsi Natsyyanalnaga to descent of Respubliki Belarus, 1998, No. 20, the Art. 222).

They concretize in relation to the considered period (2006-2015) target reference points and tasks of National strategy of sustainable social and economic development of the Republic of Belarus for the period till 2020 (NSUR-2020) approved by the National commission on sustainable development of the Republic of Belarus (the protocol of May 6, 2004 No. 11/15PR) and Presidium of Council of Ministers of the Republic of Belarus (the protocol of June 22, 2004 No. 25), the Complex forecast of scientific and technical progress of the Republic of Belarus for 2001-2020, consider the directions and actions of the Development program of industrial complex of the Republic of Belarus for 1998-2015 approved by the Presidential decree of the Republic of Belarus of May 14, 1998 No. 246 (Collection of decrees, presidential decrees and orders of the Government of the Republic of Belarus, 1998, No. 14, of the Art. 362), the State program of revival and development of the village for 2005-2010, the Republic of Belarus approved by the Presidential decree of March 25, 2005 No. 150 (The national register of legal acts of the Republic of Belarus, 2005, No. 52, 1/6339), Programs of social and economic development of the Republic of Belarus for 2006-2010 approved by the Presidential decree of the Republic of Belarus of June 12, 2006 No. 384 (The national register of legal acts of the Republic of Belarus, 2006, No. 92, 1/7667), Structural adjustment programs and increases in competitiveness of economy of the Republic of Belarus approved by Presidium of Council of Ministers of the Republic of Belarus (the protocol of June 4, 2003 No. 25, Item 2).

The main directions are developed by the Ministry of Economics taking into account the offers provided by the ministries and other republican state bodies, NAS of Belarus, National Bank, other organizations subordinated to the Government of the Republic of Belarus, regional executive committees and the Minsk Gorispolkom.

1. The analysis of modern social and economic situation and economic trends in the basic fifth anniversary (2001-2005)

In the basic fifth anniversary the economy of the Republic of Belarus after the long period of crisis state and stabilization took way of strong social and economic rise. In recent years the fifth anniversary the increasing rates production volumes of gross domestic product, products of the industry, investments, indicators of growth of level of living of the population increased. Carrying out moderately tough monetary and monetarist policies promoted decrease in 2005 in the rate of inflation to 8 percent, or in average monthly calculation to percent 0,6.

High rates of economic growth and increase in overall performance of industries of economy allowed to provide along with improvement of financial position of the organizations and strengthening of national currency by the end of 2005 growth of the nominal added average monthly salary of one worker in dollar equivalent to 261 US dollars.

Dynamics of the main macroeconomic indicators of development of national economy is given in the table.

The demographic situation in Belarus is characterized by the reducing population size caused by low birth rate and high death rate of the population, especially men of working-age.

Annual average population size of the republic was reduced for 2001-2005 by 195,4 of one thousand and constituted 9775,3 of one thousand people. The balance of external migration during the entire period was positive and reached 1,9 of one thousand people in 2005. The downward tendency of migratory surplus in the cities is characteristic of internal migration that is generally connected with reducing outflow of the population at working-age from the rural zone. At the same time in 2003-2005 in development of demographic processes the positive changes caused by implementation of measures of social population policy, directed to strengthening of family and health of the population were planned: birth rate grew and death rate of the population was reduced.

For the last 3 years annual average rates of surplus of gross domestic product made percent 9,2. In 2003 on amount of its production the level of 1990 was reached, and in 2005 excess already constituted nearly 27 percent. The industry of the republic grew at higher rates - percent 11,1 for the last three years. The industrial output of 1990 was reached in 2000, and in 2005 the index of growth of industrial output relatively constituted 1990 percent 152,8. The agricultural industry in connection with considerable influence of natural conditions of reproduction developed slower rates, and in 2005 production of agricultural products constituted percent 89,3 to the level of 1990.

In the basic fifth anniversary the growth in volumes of production of industrial output is provided in case of the advancing work gain in productivity, export volumes and currency receipts increased, the positive tendency on energy saving is fixed, investment attraction scales in fixed capital increased. Expansion of marketing researches, carrying out certification of products, further development of integration communications with the CIS countries, and first of all with the Russian Federation, allowed to strengthen line items on internal and the foreign markets of the Belarusian goods.

However in industry there is still unresolved key problem of ensuring further economic growth and release of competitive products - updating of the main industrial and production means and upgrade of production on the basis of implementation of progressive technologies, modern machines and the equipment. Depreciation of fixed assets in such industries as mechanical engineering, the chemical and petrochemical industry is especially considerable.

Positive shifts happened also in development of construction complex of the republic: annual average growth of amounts of contract works and the industry of construction materials constituted 10 percent a year. The organizations of the industry release the construction materials capable to provide not only internal needs of the country, but also requests of the foreign markets. The industry of complex keeps export orientation, practically all construction materials and products determining consumer properties of housing are certified measures for updating of fixed assets are performed.

The most important task of complex is increasing production of construction materials, improvement of quality of construction products. For its decision it is necessary to accelerate upgrade of the organizations of industry, to update technical base and the machine park of construction machines, to expand capacities on release of wall materials. It is required to reduce level power - and materials consumptions of products, to increase profitability level, to provide growth of competitiveness of the Belarusian construction materials in the Russian market.

In agro-industrial complex in last fifth anniversary further deepening of specialization of agricultural production was performed, the organizational and economic mechanism was enhanced, the material and technical resources became stronger, there was reforming of unprofitable agricultural organizations with debt restructuring, cooperation and integration developed. The priority was given to krupnotovarny production as the most important factor of increase in efficiency and product competitiveness of the AIC. On growth rates of products of agricultural industry and production of main types of agricultural products per capita Belarus is high on the list among the CIS countries. So, average per capita production of grain increased from 485 kg in 2000 up to 657 kg in 2005, vegetables - from 138 up to 205 kg, flax fiber - with 3,7 to 5,2 of kg, sugar beet - from 147 up to 314 kg, milk - from 449 up to 581 kg, meat (in lethal weight) - from 60 up to 71 kg.

At the same time in agricultural industry there is number of factors which constrain its development: high cost of products, difficult financial position of agricultural organizations, low level of motivation and labor productivity.

Much attention in development of processing industry was paid to production growth in volumes, increase in consumption level, technical and technological rearmament of production, resource-saving, protection of the surrounding environment. Products total production in 2005 in comparison with 2000 grew by percent 47,8.

In 2001-2005 transport of Belarus generally provided needs of the country for transportation of goods and passengers. With improvement of general economic situation freight turnover public for this period increased in the republic on percent 38,5, amount of transportation of goods - on 42, percent. The largest growth of cargo turnover is observed on internal water (time 3,5) and air (time 3,3) modes of transport. Due to the increase in competitiveness of domestic goods and carriers, transit appeal of the country considerable success in foreign economic activity of transport is achieved. Export growth of transport services exceeded time 1,9.

In connection with decrease in demand for personal trips, in particular in the suburban message, the passenger turnover of common carrier in five years decreased by percent 37,2, amount of transportations of passazhirovn of 20,1 of percent.

In the basic fifth anniversary special attention was paid to infrastructure facilities of transport. The construction of the railway station in Minsk is complete, reconstruction of number of stations and car repair sheds is carried out, bases on repair of railway vehicles in depot of the Lead, Baranovichi, Brest, Orsha are created.

At the same time complex and serious problem is the unsatisfactory transport and operational condition of highways, bridges and overpasses. Insufficient financing of roadwork causes untimely repair and recovery of annual depreciation of highways that leads to deterioration in condition of pavings. The situation is aggravated with the permanent growth of loads of roads that is caused by rapid growth in the country of number of vehicles.

Aging and high wearing of railway vehicles of all modes of transport, especially air causes serious concern. Restraining factors of updating of vehicle park are adverse conditions of leasing of the domestic equipment, the high customs duties on vehicles of foreign production and lack of own current assets of the organizations.

Rather high rates of development of real production sector of the Republic of Belarus allowed to provide increase in level of living of the people. For 2001-2005 real cash incomes of the population increased in time 1,8, real wage - in time 2,1. The average salary in dollar equivalent increased with 75, 4 dollars in 2000 up to 261 dollars in December, 2005. The priority wages rise of workers of industries of the welfare sphere - health care and social security, education, culture, science is provided. The size of minimum wage is increased to the level of the budget of subsistence minimum. The population share with the income below BPM decreased with percent 41,9 in 2000 to percent 12,7 in 2005. The size of real average monthly old-age pension for five-years period increased twice.

In the field of social servicing of the population the state social standards are implemented. In each administrative area of the republic the centers of social servicing of the population which provide rendering the versatile help to the needing lonely and living alone citizens and families function. More 1,4 of one million people stays on the registry in these centers.

Thus, the analysis of social and economic situation demonstrates that in the republic for 2001-2005 the essential results in development of national economy which determined positive growth trends and increases in welfare of the people are achieved and at the same time a number of unresolved problems is revealed. The main of them are:

insufficient production efficiency and difficult financial position of number of the organizations of real production sector;

high level physical and obsolescence of fixed assets, high materialo-and power consumption of production, its strong dependence on prices for the imported fuel and energy and raw material resources;

limitation of investment resources and innovative opportunities for updating of fixed assets, overcomings technical and lack in technology of the operating productions;

the high level of the tax load constraining business activity and private sector development;

insufficient development of small business;

deterioration in demographic situation which is characterized by reducing population size of the republic (to 50 thousand people annually) in connection with low birth rate and high death rate of the population.

The solution of these problems is provided in the Program of social and economic development of the Republic of Belarus for 2006-2010 approved by the Presidential decree of the Republic of Belarus of June 12, 2006 No. 384.

Considering that in real production sector increase in production opportunities at the expense of extensive factors are generally exhausted, during the forthcoming period it is necessary to provide upgrade of economy by implementation of modern resource-and energy-saving technologies, the maximum use of intellectual resource of the country on the basis of all-round harmonious development of the person, activization of innovative and investing activities.

2. Purposes, tasks and priorities of social and economic development of the Republic of Belarus to long-term outlook

Strategic objective of social and economic development of the Republic of Belarus in 2006-2015 is dynamic increase in welfare of the people on the basis of balanced and sustained economic growth, ensuring rational employment of the population and approach of welfare and quality of level of living of citizens of the republic to the level of economically developed European states. Achievement of this purpose is connected with acceleration of institutional and structural transformations of economy and improvement of all high-quality parameters of its functioning.

In the next fifth anniversary (2006-2010) main objective of social and economic development of the Republic of Belarus is further increase in level and quality of life of the population on the basis of development and effective use of human potential, modernization and enhancement of structure of economy, growth of its competitiveness.

Its achievement requires the solution of the following tasks:

creating favorable conditions and opportunities for intellectual and physical development of the person;

ensuring growth of real cash incomes of the population and decrease in level of low-security (poverty);

improvement of demographic situation;

innovative and structural updating of economy, stimulation of development and implementation of effective innovative and investment projects;

increase in level of competitiveness of economy on the basis of structural adjustment, technical technological rearmament and restructuring of production;

radical improvement of the investment climate and ensuring significant growth in investments into fixed capital;

the advancing development of service industry, first of all educations, health cares, cultures as basis of effective accumulating and use of human potential, telecommunication, information, financial, insurance and other progressive types of service;

increase in efficiency of agro-industrial complex and development of social infrastructure of the village;

expansion of mutually advantageous commercial ties with the countries of the FSU and beyond, first of all with Russia, other CIS countries and the EU;

ensuring national security of the country.

Main goal of the second fifth anniversary (2011-2015) is ensuring sustainable economic development of the country and on this basis increase in welfare of the people with its approach to the level of economically developed European states.

Main objectives of the second fifth anniversary:

further enhancement of structure of economy due to the accelerated development of industries of welfare complex, the knowledge-intensive, resource-saving, export-oriented and import-substituting, environmentally friendly productions;

expansion of the markets in foreign countries by improvement of quality and competitiveness of the Belarusian goods, production cost reduction;

enhancement of mechanisms of transformation of internal accumulatings in investment for priority industries and productions, broader attraction of direct foreign investments and credits;

improvement of financial results of work of the state and privatized organizations allowing to support the high level of scientific and technical and production potentials;

development of the market infrastructure providing bystry accumulating and modulation of the capitals in priority industries and productions.

As the priority directions of social and economic development for the predicted period the following priorities which, on the one hand, develop the main directions of development of previous period at higher high-quality level are determined, and with drugoyvklyuchat the new priorities providing transition to innovative way of development, forming of new post-industrial informational society. Are carried to them:

all-round harmonious development of the person, forming of effective education systems, health care and other industries of service industry;

innovative development of national economy, power - and resource-saving;

building-up of the export potential on the basis of increase in level of competitiveness of national economy;

increase in level and quality of life of rural population on the basis of further development of the agrarian sector and agrotowns;

development of economic methods of management of land resources for the purpose of replenishment of local budgets;

complex development of the territories, the small and average cities taking into account preserving and improvement of the environment;

enhancement of structure and increase in comfort of the built housing on the basis of improvement of its consumer and operational characteristics.

Realization of these priorities will allow to provide succession of strategy of social and economic development of the Republic of Belarus, to intensify transition of national economy to innovative way of development and on this basis it is essential to increase welfare of the people.

3. Social policy and human development

3.1. The major principles and directions of social policy

Main goals of social policy in the long term are ensuring strong rise of level and quality of life of the population, forming of comprehensively developed person of the new post-industrial society determining progress and the future of the nation.

Social policy for the predicted period is based on the following basic principles:

all-round development of the person, its educational, professional, spiritual, physical and other characteristics;

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