MINSK, 19 July (BelTA) – Minsk needs to step up investment efforts, Minsk Mayor Nikolai Ladutko said at a meeting of the Minsk City Council to discuss the social and economic performance in H1 2013, BelTA learned.
The investment growth target was not met, and the city lost Br1 trillion in added value. Modernization projects have been slow. The funds allocated from the innovation funds and under the investment program have not been utilized. The potential of commercial organizations and foreign investors has not been used in full. On the other hand, in January-May Minsk raised $897.9 million in foreign direct investment on a net basis, with the annual target being at $950 million.
According to Nikolai Ladutko, serious attention should be paid to the situation in the industrial complex. The output has shrunk at such major companies as MAZ, MTZ, Minsk Motor Plant, Keramin, Kommunarka, etc. Poor export and financial indicators are worrisome. Retail and wholesale trade could make a greater contribution to the formation of the gross regional product.
Work to meet the socio-economic targets in the first half in Minsk was unsatisfactory. The city failed to provide positive momentum, and this is the fault of all services, the major utility companies, private companies, individual entrepreneurs. In the second half of the year we will need to take measure to makes sure all the targets are met,” said Nikolai Ladutko.
In H1 2013 Minsk achieved only 12 targets out of 20.
Deputy Head of the Presidential Administration Andrei Tur urged economic entities and the authorities to concentrate the efforts. The economic situation in the country depends largely on the development of the city capital.
Nikolai Ladutko pointed to insufficient involvement of business in the export of Belarusian goods and their promotion on the domestic market, representatives of science - in promotion of innovative product, universities - in export of services.
Enterprises need not only technological but also active economic modernization. According to Deputy Chairperson of the Minsk City Council Zhanna Birich, substantial savings can be made through reduction of production costs. There are positive examples of introduction of progressive systems of motivation of employees, and this experience should be shared. Business entities loosely use such instruments as franchising, outsourcing, and subcontracting.