Republic Of Belarus: Staff Report for the 2005 Article IV Consultation

This 2005 Article IV Consultation reports that Belarus experienced strong economic growth in 2004, supported by policies aimed at raising incomes and credit, and a favorable external environment. Inflation was halved during 2004, and slowed down further to 11 percent in April 2005, aided by a balanced budget, exchange rate stability, and continued remonetization. Although the economy’s current momentum is likely to result in significant growth in 2005, its long-term prospects are uncertain in the absence of wide-ranging structural reforms and a phasing out of massive quasi-fiscal activities.