Structural Challenges for SOEs in Belarus : A Case Study of the Machine Building Sector

Favaro, Edgardo ; Smits, Karlis ; Bakanova, Marina

World Bank, Washington, DC

关键词: AGRICULTURE;    ASYMMETRIC INFORMATION;    AUTOMOBILE;    AUTOMOBILE INDUSTRY;    AUTOMOTIVE INDUSTRY;   

DOI  :  10.1596/1813-9450-6010
RP-ID  :  WPS6010

学科分类：社会科学、人文和艺术（综合）

来源: World Bank Open Knowledge Repository

【 摘 要 】

Are Belarus's state ownedenterprisespositioned to grow in 2011-2015 as successfullyas in 1995-2006? State owned enterprises account for 55percent of Belarus's output and two-thirds of overallemployment; economic growth in 1995-2006 was the result ofcapacity expansion and productivity improvements in stateowned enterprises. These sources of economic growthoriginated in policy decisions that preserved thefunctioning of the command and control economy and allowedthe country to exploit preferential commercial access to theRussian market in several goods and services. Are the samereasons likely to facilitate the performance of state ownedenterprises and overall economic growth in 2011-2015? Thispaper concludes that this is not likely to happen. Timeshave changed: the slowdown in production and exports in2009-2010 was unquestionably associated with a transitorydecline in demand for durable goods in Russia. But therehave also been more permanent market forces at work: asteady increase in competition in Russia and otherCommonwealth of Independent States markets resulting fromlow-price Chinese and Russian-produced capital goods; and ashift in demand from low-quality/low price to high-quality,high-price transport equipment demand in Russia and otherCommonwealth of Independent States markets. And these forcesare there to stay. This conclusion leads to the followingquestions: Would state owned enterprises be able to adapt toobserved market changes? What reforms would be relevant tofacilitate the necessary adaptation?