After 70 years spent as part of the USSR, in 1991 Belarus became an independent state. However, under the leadership of the first and still unchanged President Alexander Lukashenko, it has maintained deeper ties with Russia in the economic, political and other fields than any other former Soviet republic. While the majority chose “wild capitalism”, Belarus headed for “market socialism”. And as the latest statistics show, it was not such a bad choice. Belarus’s per capita GDP, taking into account purchasing power parity, is, according to 2016 data, $ 17, 500. Only the Russian Federation and Kazakhstan have a higher rate from the CIS countries.
Belarus: GDP, population and other macroeconomic indicators
As a legacy from Soviet times, the country remained a relatively developed industrial base for that period. Its replacement has not been made until today. Thus, the industrial base is obsolete, energy intensive and dependent on Russian markets. Agriculture is also inefficient and subsidized by the state. Market reforms were carried out only at the very beginning of the independence period, then some small objects were privatized. However, more than 80% of enterprises and 75% of banks remain state-owned. It is not surprising that the flow of foreign investment in such conditions is insignificant. Consider the main macroeconomic indicators for 2016, unless otherwise indicated:
- PPP of Belarus is 165.4 billion US dollars. According to this indicator, the country is in 73rd place in the world.
- GDP growth of -3%. This is the second year in a row with a negative indicator.
- PPP Belarus per capita at $ 17, 500.
- Gross domestic product by sector: agriculture - 9.2%, industry - 40.9%, services - 49.8%.
- Labor resources - 4.546 million people (as of 2013).
- The unemployment rate is 0.7% (as of 2014).
- Labor resources by sector: agriculture - 9.3%, industry - 32.7%, services - 58% (as of 2014).
Gross domestic product in dynamics
Belarus's GDP at the official exchange rate in 2015 amounted to 54.61 billion dollars. This is 0.09% of the global economy. The average GDP of the Republic of Belarus for the period from 1990 to 2015 amounted to 32.27 billion US dollars. The highest rate was recorded in 2014. Then the GDP was 76.1 billion US dollars. The lowest is in 1999. Then the Belarusian gross domestic product amounted to 12.14 billion US dollars.
Belarus: GDP per capita
In 2015, this indicator amounted to 6158.99 US dollars. This is 49% of global GDP per capita. The average for the period from 1990 to 2015 amounted to 6428.4 US dollars. The highest gross domestic product per capita was recorded in 2014. Then it amounted to 6428.4 dollars. The lowest is in 1995. It was equal to 1954.38 American dollars.
General characteristics of the national economy
When considering the economy of the Republic of Belarus, GDP growth is a key indicator. Over the past two years, he is negative. For the third quarter of 2016, gross domestic product decreased by 3.4%. The average GDP growth for the period from 2011 to 2016 amounted to 0.76%. A record high indicator was recorded in the second quarter of 2011. Then, compared with the same period in 2010, the gross product of Belarus grew by 11.05%. A record low indicator - in the second quarter of 2015. GDP decreased by 4.5%.
The main industries are the manufacture of metal cutting machines, tractors, trucks, earthmoving equipment, motorcycles, synthetic fibers, fertilizers, textiles, radios, refrigerators. All of them work for the CIS countries and are characterized by significant obsolescence of the material and technical base. The main agricultural products are grain, potatoes, vegetables, sugar beets, beef, flax, and milk. The agro-industry remains inefficient, its development is carried out in an extensive way. Agricultural enterprises are extremely dependent on state support, subsidization is carried out at all levels.
