Republic

Belarusian banks give Br4.8 trillion in investment loans in January-September

In January-September 2007, Belarusian banks issued Br4.8 trillion in investment loans, Chairman of the Board of the National Bank of the Republic of Belarus (NBRB) Piotr Prokopovich informed President of Belarus Alexander Lukashenko on October 9. The press service of the President of Belarus told BelTA, Alexander Lukashenko had been informed about the fulfilment of the Major National Monetary Management Guidelines over the first nine months of the year. Over the period the Belarusian banking system reached all the designated goals, ensured financial stability and the stability of the national currency. In January-September 2007 the exchange rate of the Belarusian ruble against the US dollar fell by 0.4% to Br2,149 for $1 as of October 1. The change is within the planned range. “Everything has been done to keep the development of the real economic and social sphere in conformance with the forecast targets,” remarked the NBRB Chairman of the Board. Piotr Prokopovich also said, the growth of bank loans to the real economy was outstripping. Over the nine months the amount of issued loans exceeded the annual target, including the targeted amount of investment loans. In particular, this year Belarusian banks were expected to provide Br3.9 trillion in investment loans, but in January-September the figure reached Br4.8 trillion. Other kinds of lending are developing fast. Apart from that, the President was told that all governmental programmes are financed with loans in full. Speaking about the interest rate policy of the National Bank, Piotr Prokopovich remarked, over the last four months the NBRB has been decreasing the refinancing rate on a monthly basis. As a result, the figure totalled 10% per annum on October 1, 2007. The low refinancing rate will allow decreasing interest rates for loans available to individuals and corporations and keeping national currency deposits attractive. In January-September 2007 Belarus’ gold and foreign exchange reserves gained $1.4 billion to reach $3.15 billion in national terms as of October 1. The build-up of the reserves will be continued in order to increase the figure up to $6 billion in 2010. The head of state gave an instruction to ensure the achievement of all the goals set by the 2007 Major Monetary Management Guidelines and to take measures and create preconditions for the successful operation of the banking system next year.