Updated at 13:48,15-08-2017

Cutback on soft loans may lead to delayed construction projects in Belarus

Belarus in focus

According to the National Bank, in January - April 2016, peoples debt in construction loans increased by BYR 421 billion, which is 5.5 times less than the increase of the debt for the same period in 2015. The bulk of the debt increase is due to the soft loans for the needy, circa BYR 4.8 trillion by the year-end. The state has restricted funding of housing construction due to the need to fund other priority areas. As a result, construction volumes will decline, employment in construction will reduce, bad debts for work performed and goods delivered by construction companies will grow, some construction companies my file for a bankruptcy. Amid reduced family incomes and without the soft loans, delayed construction sites are likely to grow in number.