Belarus’ mechanical engineering production continues to fall

According to the National Statistics Committee, in April 2014 manufacturers of vehicles, machines and equipment reduced their production volume by more than 20 %, compared to April 2013.

Such a decrease is evidencing that crisis is building-up at Belarus’ largest machine-building enterprises. Engineering enterprises require additional government loans. In addition, stocks at the machine-building enterprises are expected to grow in order to keep up with the planned production volumes, as well as state programmes will be expanded to sell machinery equipment at a discount. The implemented measures will hardly save workers from mass lay-offs and shorter working week. Until enterprises receive financial assistance, they will experience problems with settlements with their counterparties, so as the industry is loss making.