Stanislau Bahdankevich: Government cannot plan budget

• 5.12.2013, 8:36

Expenses are growing, making it difficult to calculate taxes.

A delay in approving the state budget for 2014 shows problems in the country's economy, former chief of the National Bank Stanislau Bahdankevich told BelaPAN news agency.

Under article 96 of the Budget Code, the law on the republican budget for the next financial year is adopted “not later than December 1 of the year preceding the next financial year”. The “house of representatives” hasn't yet begun to discuss the main financial document of the country. In 2012, the budget was approved in October. In 2011, after the threefold devaluation of the ruble, the budget was approved in the middle of December.

“The government probably cannot calculate the revenues and the expenditures of the budget,” Bahdankevich says. “Plants stop working or work short weeks, losses are growing, so it's difficult to calculate taxes.”

The expert doesn't think the delay in approving the budget is a disaster. “It's bad, but it's not a life-or-death situation. It should be approved by January 1,” he noted. The responsibility for the situation lies with the Ministry of Finance, according to Bahdankevich. “In general, it is the joint responsibility of the government. But it heard resignation threats so many times that it doesn't fear anything,” the former National Bank chief thinks.