In a similar vein, we intend to rekindle our privatization program.
We believe that privatization of large-scale enterprises in the current
environment would be premature. Therefore, for the immediate future
we will place special emphasis on small and medium-sized enterprises,
which should become a major engine for economic growth and creation
of employment opportunities during transition. Large-scale privatization
will follow. More specifically, during the SMP we are determined to
prepare the legal basis for the completion-by the end of 2001-of privatization
of retail trade, public catering and household services enterprises
in the six oblast centers. In addition, during the SMP period the government
will submit to parliament the new edition of the law on privatization
ensuring improvement of privatization procedures.
In 2001 the government will take steps toward liberalizing the labor
market in order to facilitate the transition to a market economy. During
the SMP period, we will review proposals to increase the flexibility
of the system of wages in the budget sphere that will allow us to react
more adequately to changes in the economy. We will also review the indicators
that currently influence the wage-setting process at state-owned enterprises,
with a view to creating a more flexible pay system. Preparatory work
in this area is already under way. Finally, we are considering the transition
to a forward-looking wage indexation system.
Belarus SMP: Structural Benchmarks.
o Submit to the Parliament the draft law 'On divestment and privatization
of state-owned property in the Republic of Belarus' which would stipulate
widening of the range of means of privatization and rights of the Ministry
of State Property and Privatization, as well as the legislative norms
that will allow to suspend the Presidential Decree No. 591 on 'the golden
share rule'. June 30, 2001
o Adopt a normative act on completion of divestiture and privatization
of small scale enterprises (retail trade, public catering, and household
services) in the six oblast centers by end-2001, and in the rest of
the Republic of Belarus by end-2002. June 30, 2001
o Submit to the government proposals for increasing the flexibility
of the wage system in the budget sphere. June 30, 2001
o Submit to the government proposals on the transition to forward-looking
indexation of income of the population. June 30, 2001