09MINSK114, BELARUS WEEKLY POL/ECON REPORT – APRIL 10, 2009

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Reference ID Created Released Classification Origin
09MINSK114 2009-04-10 14:01 2011-08-30 01:44 UNCLASSIFIED Embassy Minsk

VZCZCXRO5443
RR RUEHAG RUEHAST RUEHDA RUEHDBU RUEHDF RUEHFL RUEHIK RUEHKW RUEHLA
RUEHLN RUEHLZ RUEHNP RUEHPOD RUEHROV RUEHSR RUEHVK RUEHYG
DE RUEHSK #0114/01 1001401
ZNR UUUUU ZZH
R 101401Z APR 09
FM AMEMBASSY MINSK
TO RUEHC/SECSTATE WASHDC 0207
INFO RUEHZL/EUROPEAN POLITICAL COLLECTIVE
RUEHSK/AMEMBASSY MINSK 0210

UNCLAS SECTION 01 OF 02 MINSK 000114 
 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: PGOV PREL PHUM ECON BO
SUBJECT: BELARUS WEEKLY POL/ECON REPORT - APRIL 10, 2009 
 
MINSK 00000114  001.2 OF 002 
 
 
1.  The following are brief items of interest compiled by 
Embassy Minsk. 
 
TABLE OF CONTENTS 
 
Civil Society 
------------- 
 
- For Freedom Movement's Property Confiscated (para. 2) 
- Police to Investigate Desecration at Kurapaty (para. 3) 
 
Domestic Economy 
---------------- 
 
- Lukashenka to Clear Amended 2009 Budget (para. 4) 
- GOB Offers Benefits to Car Manufacturers (para. 5) 
- Lukashenka: We Will Build NPP No Matter What (para. 6) 
- Lukashenka: Government Will Not Resign (para. 7) 
 
Quote of the Week (para. 8) 
--------------------------- 
 
------------- 
Civil Society 
------------- 
 
2.  For Freedom Movement's Property Confiscated 
 
On April 7, police confiscated office property (and even the 
kitchen sink) from the residential premises rented by the For 
Freedom movement in Minsk.  A Minsk district court earlier ruled 
that the property allegedly belonged to a landlord who had 
committed fraud.  However, Alyaksandr Milinkevich, leader of the 
movement, insisted that his group owned the furniture and other 
property removed from the residence.  The movement members 
opined that the confiscation was "politically motivated" and 
expressed doubts that a court would challenge it.  In 
conversation with Charge April 9, Milinkevich shrugged off the 
confiscations and said that For Freedom would acquire new 
computers, furniture, and other necessary items. 
 
3.  Police to Investigate Desecration at Kurapaty 
 
A Minsk district police department opened a criminal case April 
4 in connection with the April 2 desecration of graves at the 
Kurapaty mass burial site.  Heritage protection activists 
presumed that vandals could have dug up the graves in search for 
valuables and expressed hope that the perpetrators would be held 
criminally liable for desecrating the site. 
 
---------------- 
Domestic Economy 
---------------- 
 
4.  Lukashenka to Clear Amended Budget 
 
According to the Presidential press service, the GOB submitted 
April 2 amendments to the 2009 consolidated budget adopted last 
November for Lukashenka's clearance before forwarding them to 
the parliament.  Seeking to fulfill Lukashenka's instruction 
(given earlier this year) to urgently reduce budget deficit 
numbers to zero, the GOB cut revenues by 15% and expenditures by 
18% percent, thus lowering both to the equivalent of $22.2 
billion.  The press service noted that in terms of its volume 
the 2009 budget will be equal to its 2008 counterpart in 
expenditures and revenues.  Nevertheless, the amendments provide 
for 24.4% growth in health and 11% growth in education 
expenditures.  The GOB plans to save money by prioritizing and 
reducing/suspending government investment in numerous public 
projects throughout the country. 
 
5.  GOB Offers Benefits to Car Manufacturers 
 
According to media reports, Lukashenka signed Edict 175 April 4 
to offer a three-year exemption from profit, excise and other 
taxes as well as well as up to a ten-year exemption from import 
tariffs and VAT to legal entities, which decide to establish 
production of cars on Belarus' territory.  Economy Ministry 
official Igor Rogozin told a news conference on April 6 that in 
last year alone Belarusians spent $1.5 billion to import 300,000 
cars most of which were used ones (and many of those were from 
the U.S.).  The GOB would like to have production of the total 
of at least 10,000 cars a year.  At present, there is only one 
such manufacturer, the not particularly successful 
Belarusian-Iranian joint venture Samand, which produced a grand 
total of 288 vehicles last year. 
 
6.  Lukashenka: We Will Build NPP No Matter What 
 
During his working visit to Gomel region April 7, Lukashenka 
reiterated that the GOB will do "whatever it takes" to construct 
a Nuclear Power Plant (NPP) despite the global financial and 
economic crisis.  He asserted that all pre-construction work was 
 
MINSK 00000114  002.2 OF 002 
 
 
progressing smoothly as Russia committed itself to issue a loan 
to support the implementation of the project.  He also claimed 
that more than 60 percent of Belarusians support the project. 
In the meantime, Lithuanian Foreign Minister Vygaudas Usackas 
told Prime-TASS news agency April 6 that Lithuania has so far 
received no written notification of Belarus' intention to 
construct a NPP in any particular area. 
 
7.  Lukashenka: Government Will Not Resign 
 
Answering reporters' questions during his working trip to Gomel 
region April 7, Lukashenka dismissed all rumors and speculation 
over the government's potential resignation.  "There is no such 
issue [as] resignation of the government", assured Lukashenka, 
hinting however that he may dismiss some senior government 
officials and directors of state-owned enterprises in the near &#x
000A;future.  He blamed the opposition for playing up the issue, 
arguing that many of them long for a government office. 
Finally, he opined that the global crisis benefits the country 
to some extend as it teaches officials how to work well. 
 
----------------- 
Quote of the Week 
----------------- 
 
8.  Commenting on the resignation of Interior Minister Vladimir 
Naumov Lukashenka said: "You know that Interior Minister applied 
for resignation.  One of the reasons was his terrible fatigue~ I 
understand that he is tired but that does not mean that he 
worked poorly~ He is worn out and truly tired.  Why exhaust him 
further forcing him to hold an office." 
MOORE

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