Minsk
The Belarus capital Minsk is situated at the crossing of the roads linking
the Baltic and Black Seas regions, and West and East Europe. Minsk welcomed
the millennium as one of the 273 largest cities of the world, with 1,700,000
population (16.8% of total population of Belarus) and ranking 116th by
population in the world.
The Minsk economy is based on the richest scientific, technological and
industrial potential and includes 25,000 economic entities with different
forms of ownership and legal statuses.
The main scientific research potential of Belarus is concentrated in Minsk.
Minsk research institutes account for 72% of all research workers in
Belarus, including 17% of high quality professionals, candidates and doctors
of science and 26.4% of all researchers. This index per 10,000 population
exceeds the republican level by 4.6 times and is close to the average
European index.
The industrial complex is based on mechanical engineering and metal working
industries - 56,9%, electricity – 13.7%, food industry – 11.5%, consumer
goods industry – 6.1%, woodworking and forestry – 2%, chemical and
petrochemical industries – 0.8%, other – 9%. Public enterprises employ 54.4%
of working population, private companies – 44.1%, foreign companies – 1.5%.
Minsk is the largest exporter accounting for 40% of total foreign trade of
Belarus.
Minsk produces more than 20% of total industrial volume, of which more than
60% is exported. The main export goods are tractors, trucks, trailers and
semitrailers, metalworking tools, household refrigerators and deep-freeze
cabinets, TV-sets, bearings, flagstones, and corsetry. Goods produced in
Minsk are exported to more than 100 countries. The main consumers of Minsk
goods are Russia, Great Britain, Baltic republics, Germany, Ukraine, and
Italy. Foreign trade in 2003 totaled $8.3 billion, including $3.2 billion
exports.
The major Minsk brands well known in many countries of the world include:
RUE Minsk Automobile Plant, RUE Minsk Wheeled Tractors, OJSC Minsk Bearing
Plant, SPA Integral, RUE Minsk Aircraft Repair Plant, RUE Minsk Tractor
Plant, RUE Minsk Engine Plant, RUE Minsk Optical Mechanical Plant named
after Vavilov, OJSC Minsk Watch Plant, OJSC Amkodor, ZAO Atlant, RUE
Gorizont, OJSC Keramin, JV ZAO Milavitsa, OJSC Belarus Wallpaper, OJSC
Belmedpreparaty, OJSC Kommunarka, OJSC Confectionary Plant Slodych, and
other.
Raw materials, materials and components account for 49% of imports, while
modern equipment – for 30%. Nearly all Minsk exporters are in need of
technical re-equipment, latest technologies and new markets.
Minsk is the leader in attracting foreign investment. As of the end of 2003
over 2.5 joint ventures and foreign companies were registered in Minsk,
which is 60% of all Belarus ventures with foreign interest. The leading
investors are the USA (362), Germany (272), Russia (263) and Poland (178).
In 2003 Minsk attracted $796.3 million in foreign investment, including $392
million or 40.4% in direct investment. The main foreign investors in Minsk
are: Russia – $194.7 million, Switzerland – $166.9 million, Virgin Islands –
$83 million, Austria – $68.6 million, Netherlands – $35.8 million, the UK –
$35.3 million, the USA – $30.7 million, Germany – $28.5 million.
Foreign investors note the following attractive factors:
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political stability;
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high industrial capacity and high quality research and industrial workers;
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favorable geographical position, proximity of European markets;
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Belarus enterprises are ready to develop the production of competitive
goods and quickly enter the adjacent markets.
Of the Minsk investment projects the construction of the National Library
patronized by President Lukashenko is worth special mentioning.
Foreign capital has participated in the successful completion of
reconstruction of the Minsk Hotel and continued reconstruction of the
Svisloch Hotel.
The full-scale program of privatization of trade and catering services has
begun to bring about good results. Twelve out of 16 urban plots designed for
construction and subsequent operation of trade centers-supermarkets have got
owners and investors.
The first stage of reconstruction of the Independence Square in Minsk is
nearing completion. Currently the trade outlets to be built in two
underpasses and the subway engineering block are offered to purchase.
The second stage involves the construction of an underground trade center
with a total area of 100,000 square meters.
The most important projects supported and managed by the Minsk municipality
include the waste incinerator project with a capacity of 300,000 tons
(project cost and required investment - $80 million); development of a
modern tram network (project cost and required investment - $600 million,
start up finance - $70 million).
The Minsk municipal authorities have identified urban areas and will hold
tenders for construction of trade and catering centers, car care centers,
residential houses, parking lots, installations for utilization and
treatment of domestic waste, social infrastructure on landscaped areas,
public service entities, reconstruction or renovation of residential houses,
etc.
The hotel privatization program involving foreign investors is designed to
preserve Minsk as the business, cultural and tourist center of the Republic
of Belarus.
Minsk is the major economic, political, cultural and scientific center of
the Belarus Republic. With its solid research and industrial potential,
developed industries with national and foreign capital, and a mighty private
sector Minsk has every opportunity to build up business relations with
potential partners. It is open to any proposals and fruitful cooperation.
Contact information:
Minsk City Executive Committee
Economy Department
8, F. Skorina Avenue,
Minsk, 220050
Tel. (375 17) 2272989
Fax. (375 17) 2066329
interdep@minsk.gov.by
www.minsk.gov.by
