INVEST IN BELARUS · TOP-100 6 HTP resident companies are included in the rating The Global Outsourcing TOP-15 leading countries in IT outsourcing and high-tech services TOP-9 destinations

INVEST IN BELARUSOPEN YOUR MIND, OPEN YOUR BELARUS

2

BELARUS

Klaipeda Port – 500 km

Riga Port – 530 km

Tallinn Port – 790 km

Population9.48 mln (45.7 people/km2)

CapitalMinsk

Territory207 600 km

LanguagesBelarusian, Russian

Nominal GDP~63.2 bln USD (2019)

Urban population77%

Confession80% orthodox

CurrencyBelarusian Ruble (BYN)

$/BYN ≈ 2.4

Airports7 airports in the country

Source: Belstat; 2019 dataNational Agency

of investment and privatization

Minsk-London2172 km, 3h 20 min

Minsk-Berlin1112 km, 1h 50 min

Minsk-Moscow713 km, 1h 20 min

Minsk-Paris2177 km, 3h

Minsk-Roma2338 km, 2h 55 min

2

3

101,7

96,2

97,5

102,5 103,1

101,2

102,8

92

94

96

98

100

102

104

2014 2015 2016 2017 2018 2019 2020*

Real GDP Growth % Y-o-Y

16,2

1210,6

4,6 5,64,7

0

4

8

12

16

20

2014 2015 2016 2017 2018 2019

СPI, % Y-o-Y

19,5

20,6

33,8

53,8

66,1

76,6

0 20 40 60 80

China

Belarus

Poland

Denmark

Switzerland

Norway

GDP per capita (USD thsd PPP), 2019

39,4

25,7

13,1

9,4

6,8

5,6

GDP structure, 2019

Services

Industry

Net taxes on production

Trade

Agriculture

Construction

Key macroeconomic indicators

Source: Belstat, 2019

26,730,3

23,5

27,629,2

34,333,9

38,4

32,9

39,3

0

5

10

15

20

25

30

35

40

Export Import

Foreign trade of goods of Belarus, bln USD

2015 2016 2017 2018 2019

BB

S&P

Fitch

National Agencyof investment

and privatization

4

1,861,65

1,251,28 1,43

1,31,7

3

0

0,5

1

1,5

2

2,5

3

3,5

2014 2015 2016 2017 2018 2019 2020* 2025*

FDI inflow to Belarus, bln USD

FDIInvestment opportunities

Industry

IT-sector

Tourism

Financial sector

Source: Belstat, 2019Source: NBRN BOPSource: UNCTAD, 2018

FDI to Belarus by sectors, 2019

production sector

10.3% 3.6% 29.4% 23.5% 3.6% 29.6%

wholesale and retail trade,

repair of motor vehicles

real estateoperations

finance and insurance

transport other

Top-10 FDI donor countries to Belarus, 2019

AustriaLithuania Poland

1.6 % 2.0 % 2.0 % 2. 1 % 2. 1 % 2. 7 %

Latvia

3. 9 % 10.5 % 25.8 % 26.6 %

0,9

0,9

1,2

1,4

4,8

7,6

11,4

13,3

25,7

0 5 10 15 20 25 30

Latvia

Lithuania

Finland

Belarus

Belgium

Austria

Poland

Russia

Germany

FDI inflow, 2018, bln USD

Netherlands UK Germany China Russia CyprusNational Agency


5

Global rankings

Density of medical doctors (per 10 000 population) average for 2009-2018

42.4Switzerland

40.8Belarus

40.1Russia

33.2Belgium

31.9Latvia

26.1Canada

Belarus is in

the top 25 countries

favorable formotherhood

Belarus takes

the 3rd placein the world

export of potashsalt

5.7Dentists

per 10 000citizens

The BelAZ dump truck with a

loading capacity

of 450 tonstwice entered intothe Guinness Book

of Records

Belarus entered

the top 10 countries

for travel in 2019 according to

Lonely Planet

78.4% of householdshave access

to theInternet

Source: Belstat; 2019 dataSource: World health organization;Source: Human Development Index ,UNDP1Source: Transparency International Index, transparencySource:E-Government Development Index (EGDI)

Human Development Index, 2019

Belarus 50th

Bulgaria 52nd

Georgia 70th

China 85th

Transparency International Index, 2019

Belarus 66th

Bulgaria 74th

Ukraine 126th

Russia 137th

e-Government Development Index,2018

Belarus 38th

Lithuania 40th

Bulgaria 47th

Czech Republic 54th


and privatization

6National Agency


Belarus at the global market

> 180COUNTRIES TRADE PARTNERS

70 %PRODUCTIONFOR EXPORT

exporter of potash

17.2 % fertilizers

of the world market

exporter of

7.4% hoopwood

of the world market

exporter of

2.1% raw flax

of the world market

Source: www.trademap.org

exporter of butter

8.1%of the world market

exporter of cheese


exporter of SMP


Source: www.fao.org*ranking 2019

http://www.fao.org/

7

Production sector

Machines and equipment 113.3 %

Transport and machinery 114.1 %

Electric equipment 104.1 %

Industrial Output Index, 2019

Every day Belarus is making

haul trucks frontal loaders tractors

street sweepers trucks off-road dump trucks

buses

2 2.4 108.6

42.4 14.8 5.3

3.1

Belarus mechanicalengineering

comprises over250 companies

(large and medium-sized)

In 2019, export of mechanicalengineering

products rose by around

4.3% to 5.8 bln USD

Еach 10thtractor in

the world is

"BELARUS"

0

100

200

300

400

500

600

2015 2016 2017 2018 2019

FDI sectoral structure of the production sector, mln USD

0%20%40%60%80%

100%120%140%160%180%

Metallurgy Wood and paperproducts

Chemicalproducts

Сarbonite and refined products

Dynamics in production sector

Dec 2018 Dec 2019

Source: Belstat, 2019Source; Belarus SED Report 2019


and privatization

9

Agriculture sector

Investors see the undoubted advantages of investing in the agriculture of Belarus due to in-country agribusiness development

preferential credit resources attracted for the implementation of agricultural projects (from 3% per annum)

state support for the development of infrastructure (roads, communications)

single tax for agricultural producers (1% of revenue)

VAT of 10% on agricultural products, no income tax and property tax

Agricultural land41.1%

Source: Belstat, 2019

Land area20298.8(1000 ha)

Agricultural area8532.7

(1000 ha)

Forest area8633.5

(1000 ha)

Main agricultural products

Potato, flax, rapeseed, sugar beets


and privatization

9

IT-sectorFDI in the ICT-sector, mln USD

20182019

280,5

6 times in a row theBelarusian recognized

as the best world programmer

at the Google Code Jam

Belarusian programmers are

famous all over the world

EPAM is in the top-100 fastest

growing companies according to Fortune

132 136 147 161 191

454

751

0

200

400

600

800

2013 2014 2015 2016 2017 2018 2019

HTP residents

740,7897,0 1 003,5

1 152,4

1 445,3

1 840,5

2 406,1

0

600

1200

1800

2400

2013 2014 2015 2016 2017 2018 2019

Services exportd of ICT sphere, mln USD

88,1%11,0%

3,2%

Export of ICT, 2019

Computer services Telecommunication services Information services

41,6…

3,2%

55,2%

Import of ICT, 2019

Source: Belstat, 2019Source: HTP

date, 2019

date, 2019

date, 2019

225,2


and privatization

10

Financial sector

24 banks

(14 with foreign capital,5 with governmental capital,

5 with private belarusian capital)*

leasing(108 organizations,

31 with foreign capital)

insurance(16 companies)

microfinance(94 organizations,

5 with foreign capital)

forex companies (14 companies)


and privatization * at 01.01.2020

11

Belarus investment support

agreements for promotion and mutual protection of investments 66

agreements on avoidanceof double taxation 70

Law «On Public Private Partnerships»of 30 December 2015

Law «On investments» of July 2013


and privatization

12

Preferential regimes


and privatization

INCOME TAX LAND TAX PROPERTY TAXINCOME TAX

FOR INDIVIDUALS

DEDUCTIONS TO THE SIF VAT AND CUSTOMS DUTIES

stabilization clauseMoratorium on

conductioninspections

SAFETY REGIME

18% in general

0%

Great StoneHTP Small townsFEZs


0%

1% in general


0%

13% in general

Great StoneHTP Small towns

0%

35% in general

Great StoneHTP for the income exceeding average monthly salary

0%

20% in general


0%

30 DAYS in general

180 DAYS Great Stone

Great Stone

VISA-FREE REGIME

13

Free economic zones

Export-oriented production

Minimum investmentsof €0.5 mln0%

Income TaxProperty TaxLand TaxVAT & Custom Import Duties

17%

15%

16%

10% 12% 14% 16%

EXPORT OF GOODS

INDUSTRIALOUTPUT

NET FDI

Share of FEZ residents in key macroeconomic indicators of Belarus, 2019


and privatization

14

Great Stone Industrial Park

PLACE FOR INDUSTRIES OF THE FUTURE

INNOVATIONS AND NEW TECHNOLOGIES

NTERNATIONALBUSINESSCOOPERATION

0% TAX PRIVILEGES AND BENEFITS 10 years

GRANDFATHER`S CLAUSE

0% SPECIAL CUSTOMS REGIME

THE MOST CONVENIENT CONDITIONS FORDOING BUSINESS IN THE EURASIAN REGION


and privatization

15

HI- Tech Park

37 000 software developers in HTP

resident companies

18% share of IT-services in export of Belarus

48% of 751 resident companies are with foreign

or joint ownership

91,9% of software produced in HTP is exported

Companies from 67 countries are customers of

the High-Tech Park

TOP-1006 HTP resident companies are

included in the ratingThe Global Outsourcing

TOP-15leading countries

in IT outsourcing and high-tech services

TOP-9destinations for

software development

0,05

0,27

1,59

2,10

0

0,6

1,2

1,8

2,4

2006 2011 2018 2019

date, 2019

Export of IT services, bln USD


and privatization

Beijing2020

China-CEEC16

Small towns and rural areas

0%

Income Tax Property TaxVAT & CustomImport Duties

Beijing2020

China-CEEC17

Orsha Region

PRODUCTION OFGOODS OR PROVISIONOF WORKS, SERVICES

LOWER TAX RATES(1% of the turnover from sale of goods of own production,2% of the turnover from performing own works/services)

EXEMPTION FROM VATin relation to certain types of imported machinery and equipmentthat are subject to 0% customs duty

FULL VAT REFUNDfor developers in regard to the goods,works and services used for constructing facilities in the Orsha region

24% RATEof social security contributions by employers

0%

Beijing2020

China-CEEC18

FEZ «Bremino- Orsha»

0 0%CITReal estate taxVAT & Custom Import Duties

Poland

Russia

Lithuania

Latvia

Ukraine

19

Investment Agreement

The investors areallowed to carry

out construction workstipulated by the investment project and simultaneouslydevelop design estimates and have them evaluated

and adopted at each stage of construction

Exemption from customs duties and VAT when importing equipmentDeduction 0% VATNo tender for land plot provision No payment for conclusion lease agreement No payment for land plotAdditional government support to investments projects

36,10%

30,50%

15,40%

9,50%

5,20%

3,30%

INVESTMENT AGREEMENTS CURRENTLY IMPLEMENTING*

CONSTRUCTION PROCESSING INDUSTRY OTHER

AGRICULTURE TRADE POWER SUPPLY

*beginnings of March , 2020National Agencyof investment

and privatization

15

Success stories

21

National Agency of Investment and Privatization

Legislation clarification

Search for information

Post -investment support

Organization of meetings and visits

Selection of land plots and real estate

Analysis of financial indicators

Presentation of projectsat the events

Search forinvestors

Search for investment projects and ideas

Market Analysis

“One-stop shop” for foreign investors Project office

INFORMATION SUPPORT

PUBLIC PRIVATE PARTNERSHIP

PAPERWORK MANAGEMENT

INVESTOR SERVICING CONDUCTINGNEGOTIATIONS

COMPREHENSIVE SUPPORT

FACT–FINDING VISITS

SEARCH FOR POTENTIAL PARTNERS

SERVICESFREEOF CHARGE

>1000SUPPORTED FOREIGN COMPANIES

[email protected]


and privatization

22

National Agency of Investment and Privatization

Analysis of financial indicators

Presentation of projectsat the events

Search for investment projects and ideas

890INVESTMENT PROPOSALS

1020LAND PLOTS

580REAL ESTATE OBJECTS

FULL ASSISTANCE IN THE SELECTION OF INVESTMENT SITES- PROJECTS- LAND PLOTS- REAL ESTATE


and privatization

LET'S COOPERATE TODAYwww.investinbelarus.by

+ 375 17 200 81 75 + 375 17 226 47 98 [email protected]

FaxPhone Email

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INVEST IN BELARUS · TOP-100 6 HTP resident companies are included in the rating The Global Outsourcing TOP-15 leading countries in IT outsourcing and high-tech services TOP-9 destinations