The European Bank for Reconstruction and Development is ready to finance the creation of new industries. The head of the representative office in Belarus Alexander Pivovarsky told about the plans and intentions of the EBRD.
Alexander, such a number of visits of top executives of the European Development Bank to Belarus over the past couple of years is an indication that there is an interest in our country in order to develop cooperation, isn’t it?
Alexander Pivovarsky, head of the representative office of the European Bank for Reconstruction and Development in Belarus:
Belarus is a country where reforms and changes in various directions of the economy have begun. And that is why we have very serious interest now. Many people from London, from other offices come to continue work and find out where they really can make projects.
What do you tell investors about Belarus? Should they be afraid of some barriers that exist or who has already come to our market one day and developing their business is unlikely to give up?
Alexander Pivovarsky:
Belarus is moving rather quickly in the ratings on the quality of the environment to start business development. There is very good infrastructure, the infrastructure of roads, the country is well tied to various potential trading partners, investors. Perhaps the only factor that investors are now concerned with is macroeconomic stability – it exists now, but whether it will last. Maybe investors are afraid of what will happen next. I think that what the National Bank is doing, the work they are doing to improve macro-stability is a very positive work, and we need to talk more about it. I hope that all these factors together will lead to an increase, an increase in the attractiveness of the country. Plus, of course, there is now a visa-free regime in Belarus. Even five days are already a plus, because now investors, even the first colleagues are able to come quickly, do not wait, but quickly come to negotiations when it is necessary.
It is rumored that now loans will be given in Belarusian rubles, rather than in currency. Is this also a consequence of stability?
Alexander Pivovarsky:
Now, as we already see from experience, the ruble practically “floats”. Sometimes it slightly increases, sometimes it slightly weakens. But it is already connected with some kind of macroprocesses, processes in neighboring countries and so on. This is a very positive signal. Now it is possible to take steps to develop domestic capital markets that we in the EBRD are eager to support and increase the proportion of lending in local currency.
Many countries in the CIS area are waiting for the arrival of the European Development Bank, because this entails reconstruction of roads and infrastructure, as a result, it affects the quality of life.
Alexander Pivovarsky:
We are now discussing the direction of work – the roads. Potentially it is the road M10. We start talking about potential projects in the railway, the aviation sector, the energy sector, the direction of improving the energy intensity of residential buildings.
“Green” energy is no longer just for a witty remark.
Alexander Pivovarsky:
In general, we have a goal, that by 2020 40% of all our investments (not in terms of quantity, namely for each eurodollar) will be aimed at reducing the resource intensity of the economy in order to help reduce energy consumption in the country and increase the quality of public services. Thus, we have been working for a couple of years in the direction of drainage and water supply in small towns. I hope that this leads to the fact that water quality is better and people are better off.
Is the European Development Bank interested only in politically important large megaprojects? Or even the corporate client, for example, private, small, medium-sized business can come with some interesting business idea and count on support?
Alexander Pivovarsky:
Of course it can. We have different projects. Actually, we have small and very small projects. There are small projects of 1 million euros. In principle, this is not a very big project.
You lived in London. When you spent several months in the main office in Belarus, you also appreciated Belarus as a country for life, not just for investment.
Alexander Pivovarsky:
I would say that Belarus is a very comfortable country for life. I have only a positive impression. Here, in principle, there is very tasty food, especially dairy products, bread, which is of high quality. There is beautiful nature. Here you can easily and quickly go to nature. I went skating, skiing during the winter, because many years I lived without real winter weather. I have a very positive impression.
Source: ctv.by