The Republic of Belarus has a considerable potential for attraction of investments, a complex of advantages which are attractive for investors. Our country is distinguished by the favourable economic and geographic location, a high level of the human potential, well-developed and effective transport, energy, information and communication infrastructure.

Improvement of investment climate in the country and attraction of investments is one of the key priorities of social and economic development of our state. Investments represent the basis of economy development, introduction of new technologies, growth of labour productivity and, finally, living standards.

Continuous work is carried out in our country on the provision of comfortable economic, legal and institutional conditions for doing business. Conditions of doing business are simplified in the country, large scale infrastructural projects are launched with the support of international organizations, the use of state and private partnership mechanisms are boosted.

On the whole, in the Republic of Belarus legislative conditions of investing activities have been established which are acceptable as compared with international practices. A number of legislative acts has been adopted and is valid, including the laws of the Republic of Belarus “On investment funds”, “On state and private partnerships”, “On concessions”, decrees of the President of the Republic of Belarus, dated August 6, 2009, No. 10 “On provision of  extra conditions for making investments in the Republic of Belarus, dated May 7, 2012, No. 6 “On promotion of the entrepreneurship in the territory of middle-sized, small urban settlements, rural territories”, dated November 23, 2017, No. 7 “On entrepreneurship development”, dated December 21, 2017 “On digital economy development”, preferential modes are successfully functioning for making investments,

So, currently various preferential modes are functioning practically on the whole territory of the country for making investments, within the frameworks of which investors are enjoying taxation, customs benefits and other incentives for successful business establishing and doing. Goals and directions of using these modes are varying – from the promotion of highly technological and export-oriented production capacities to the development of regions without reference to certain activities.

It is important to understand that the work for improvement of the existing legislation with the aim of provision of conditions for better investment climate and development of individual territories in our country is systematically carried out.

As early as in the late 2018 the Chamber of Representatives held hearings on the topic “Legal and practical aspects of investment climate improvement in the Republic of Belarus”.

This event was held in an open format, more than 220 persons participated in it. Along with deputies of the Chamber of Representatives and members of the Council of the Republic the heads of state bodies and organizations, representatives of the business community, international structures, leading legal companies, experts, investors took part in the hearings.

During this event results of implementation of the state investment policy in the country were considered, the progressive experience of investment activity was studied, and the participants were able to discuss relevant legal and practical problems of improving the investment attractiveness of Belarus, to determine specific tasks in terms of improvement of doing business conditions.

Some practical results of their solution can be seen and assessed already now.

The work has been carried out in the country for reduction and optimization of measures of administrative and criminal responsibility in the sphere of economy, perfection of the corporative legislation, simplification of the customs and taxation administering.

In 2020 the Plan of measures for improvement of the investment climate in the Republic of Belarus was formed and approved for the midterm.

This Plan envisages measures for correction of the investment legislation, the legislation in the sphere of architectural and construction activity, land and property relations, the work at the external contour for organization of image events, interaction with mass media, establishment of the effective system of feedback provision with investors, etc.

Currently, within the frameworks of the aforesaid Plan the State Program “Management of the state finances and regulation of the financial market” was approved for 2020 and for the period up to 2025. The State Program envisages measures for improvement of taxation conditions and customs regulation, improvement of efficiency of securities market functioning, development of the insurance activity, better regulation of book accounting and reporting by taking into consideration its approaching to international principles and standards, etc.  Implementation of provisions of the aforesaid State Program will make it possible to create favourable conditions for economic growth, improvement of the investment climate, diversification and improvement of economic entities competitiveness.

A Single Register of Licenses has been introduced in the country, what will make it possible to secure transparency of information on the availability of a license, introduction of amendments and (or) additions, suspension, renewal, cessation of validity and its cancellation. Also, this will allow use the single informational space for collection, procession, storage and provision of the relevant information which is required for licensing.

Amendments were introduced to the procedure of making investments and placement of funds of insurance reserves by insurance companies.

In particular, a list of investment facilities was expanded for investment of funds of insurance reserves, limitations are softened for placement and introduction of funds of insurance reserves to some investment facilities, the procedure of making investments and placement of funds of insurance reserves by insurance companies was adjusted by taking into consideration the law enforcement practice.

A draft Decree of the President of the Republic of Belarus is worked through aimed at creation of conditions for complex social and economic development of regions in the Republic of Belarus, the work is carried on the improvement of provisions of the Decree by the President of the Republic of Belarus No. 10, in the frameworks of which fixation of new approaches is envisaged for implementation of investment projects with the application of incentives and (or) preferences.

Even today, the agenda of the Chamber of Representatives of the National Assembly of the Republic of Belarus includes the issues of perfection of the investment legislation.

So, a draft Law of the Republic of Belarus was introduced to the Parliament which envisages the complex correction of the Law of the Republic of Belarus “On investments”.

This legislative initiative envisages consolidation of positions aimed at better protection of investor’s proprietary rights, including by means of the introduction of “a stabilization reservation” guaranteeing stable conditions in the taxation sphere for the investor, who implements the investment project in the Republic of Belarus. Besides, a limitation is foreseen concerning the demands to the investor arising during investments, when these demands are not connected with illegal actions of the investor, a universal standard is established which determines conditions of property cost compensation being the investments (in cases of nationalization or seizure of this property), provisions are made more precise which regulate the issues of disputes settlement  between the investor and the Republic of Belarus from three to six months, and many others.

Adoption of the draft legislation will make it possible to widen opportunities of investments to the economy of the country, this will promote better investment attractiveness of the Republic of Belarus, including by means of providing extra conditions for protection of rights and proprietary interests of investors, as well as it will strengthen positions of Belarus in the negotiation process of joining the WTO by the Republic of Belarus.

The draft Law of the Republic of Belarus “On self-regulating organizations” is being prepared for consideration in the second reading. This law is intended for creation of legal conditions for introduction of self-regulating mechanisms of entrepreneurship and professional activity in the republic, what is an important component of implementing the strategy of the further economic development of the country.

Self-regulation implies an alternative mechanism of private control and regulation of entrepreneurship and professional activity. Its key idea is to distribute controlling and supervising functions over the activity of entities in a certain sphere and responsibility for their actions between the state and participants of the market.

The draft law suggests determine in the legislation the principles and types of self-regulation in the Republic of Belarus, the procedure of awarding the status of self-regulating organizations to non-commercial organizations, legislative requirements for their functioning and for their current activity, main terms of their membership.

The draft law also regulates the procedure of application by a self-regulating organization of disciplinary measures in relation to its members, as well as issues of interaction of self-regulating organizations with republican bodies of state management and other state authorities.

In the long run adoption of the draft law will allow reduce direct participation of the state in regulation of entrepreneurship and professional activity of entities with the retained responsibility of business to consumers. Business self-regulation may become an effective alternative to the state interference with the economy, ensure the reduction of state expenditures for state management, as well as better flexibility and accommodation of interests of market participants.

Respective law-making activity is conducted in interaction with all the concerned republican and local administration bodies and self-regulating bodies along with the involvement of the business community and international experts.

We understand that building up of the effective legislation for provision of comfortable conditions for doing business in our country is only possible on the basis of operative revealing of the existing challenging issues and joint search of ways of their optimal solution.