Daneika: no one will buy majority of state-owned enterprises anyway

Belarus has come to the point where, without improving governance in state enterprises, their restructuring, further development of the economy is impossible. It is necessary to deal with, as today succcessful privatization of state-owned enterprises is simply non-existent. This opinion was expressed during the conference "Minsk after Riga" by administrative director of the Belarusian Economic Research and Education Center Pavel Daneika.

Mr Daneika: "A significant part of the business already cannot be sold - there no external or internal customers. For some officials it's big secret that it's not the machines and the walls that are sold, but rather businesses, future earnings. If there are no profits, the business costs nothing. And what you can sell - no ones needs. After all, in this country there are no qualified people in the administration responsible for the process. An investment banker is a complex and very highly paid profession, and in today's conditions hiring these people and bringing them into the system is almost impossible. We see how the privatization process ends up with nothing, even if there is a desire to hold it."

Perhaps, says Mr Daneika, it is necessary to attract international investment banks so that they would carry out the privatization procedure, where it is still possible to do. It is up for discussion, how to inject vitality into the domestic state-owned enterprises, but according to experts, if it is not done urgently, it will be very difficult for the Belarusian economy to get out of the current crisis.

In addition, Mr Daneika drew attention to the need to improve the business environment and bring changes in the education system for technological professions.

Photo: bel.biz