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Cabinet considers lowering GDP growth forecast for 2014

 

The Council of Ministers considers revising downward its forecast for the country's GDP growth in 2014 from 9.6 to 5.7 percent.

Revised draft economic development targets for next year were submitted to the cabinet earlier this month.

According to the revised forecast, the government expects exports to become the main driving force of economic growth next year. It projects exports to increase by 11.4 percent in 2014.

Experts have welcomed the plans to lower the GDP growth forecast. "A 9.6-percent GDP growth rate was completely unrealistic, it is absolutely inconsistent with the Belarusian economy's growth potential," said Dzmitry Kruk of the Belarusian Economic Research and Outreach Center.

However, he added that the revised target would also be difficult to meet. "It will be difficult to secure 5.7-percent economic growth against the backdrop of unfavorable external economic conditions that are unlikely to change next year," the economist predicted.

Belarus' GDP grew by 1.4 percent year-on-year in the first six months of this year. The government had projected a GDP growth rate of 8.5 percent for 2013.

In 2012, Belarus' GDP increased by 1.5 percent. // BelaPAN