Belarusian construction industry loses $60m due to Russian ruble devaluation

Belarus' civil engineering industry has lost $60 million due to the devaluation of the Russian ruble,BelTAlearned from Belarusian Deputy Architecture and Construction Minister Alexander Sidorov on 3 February.

We have failed to hit the export target and the revenue target primarily due to the devaluation of the national currencies on the markets we work on. First of all in Russia to where we export 78% of our materials. Due to the slump on the Russian market we have lost over $60 million, stated Alexander Sidorov.

In his words, the reduction of the price-based competitive ability of Belarus-made products was another factor. There are several reasons, including an increase in prices for energy resources, for which we pay in U.S. dollars. Our competitors in Russia pay Russian rubles to get these resources. The fact gives them a considerable competitive edge, noted the Deputy Architecture and Construction Minister.

Alexander Sidorov also drew attention to the lower investment activity as another contributing factor.

Alexander Sidorov mentioned positive trends as well. In particular, export to foreign markets, including Russia, still rises. For instance, export to Slovakia increased by 4.7 times, to the UK by 5.3 times, to Poland by 3 times. The official emphasized that in 2014 several Belarusian companies entered foreign markets for the first time.