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Summary of the Report “Belarus: Poverty Assessment. Can Poverty Reduction and Access to Services Be Sustained?”

 

In December 2004 the World Bank prepared a Report “Belarus: Poverty Assessment. Can Poverty Reduction and Access to Services Be Sustained?” The assessment of the perspective for reducing poverty in The Republic of Belarus is carried out on the basis of analysis of the situation with regard to the increase of income of the population, the accessibility of education, healthcare and social protection.

 

The authors of the Report state that Belarus recovered GDP growth relatively rapidly after the economic crisis of the beginning of the 1990s, reduced poverty levels significantly, maintained wide coverage of basic education and health services, and achieved this without gross exacerbation of inequality. The policy framework in place has been successful in maintaining living standards and reducing poverty better than in several transition economies.

 

The Report reflects that the performance-enhancing reforms in education, health and social protection, which Belarus has embarked on, are in the right direction. The aim of these reforms is to enhance the effectiveness and quality of these services.

 

According to the conclusions drawn by the authors of the Report the poverty reduction and inequality performance of Belarus is impressive. Belarus has embarked on a number of reforms to support these objectives, especially in the last 2-3 years and especially in terms of institutional reforms to its education, health and social protection service delivery and financing systems. It is noted that the social protection system is almost universal, covering about 4 in 5 persons. Pensions are found to be the most adequate benefit, in part because of a strong policy of indexing pensions to real wages. Child allowances are also found to provide adequate protection. Real wages more than doubled in the last 7 years.

 

According to the Report, Belarus can be justly proud of the elaborate system of social services it provides its population. The ability of households to access quality education, health and social protection services makes a large difference to their living standards in the present, and their prospects for the future.

 

The Report provides comparison of several characteristics of social development of Belarus with those of the European Union states, countries of Central and Eastern Europe and the CIS. The Report demonstrates that our country spends more on education and healthcare than the CIS countries and, on average, more than the members of The Organization for Economic Cooperation and Development. The experts of The World Bank conclude that Belarus’ poverty monitoring and analysis system has potential to be a “good practice” for the region.