Transparency International published its new report in October to show the spread of corruption in the world. This year Belarus ranks 107th among 159 nations with Corruption Perception Index at 2.6, according to the report of the anti-corruption watchdog. The country fell 33 places within a year. It is equal now with Eritrea, Honduras, Kazakhstan, Nicaragua, Palestine, Ukraine, Vietnam, Zambia and Zimbabwe. Ukraine and Kazakhstan are noted as improving their reputation, while Belarus seems to be losing its reputation as a decent, law-abiding and honest country.
 

It has been two months since the UNDP presented its new country report, Belarus: Addressing Imbalances in the Economy and Society. National Human Development Report for 2004 - 2005. While speaking at a presentation ceremony on August 31, Deputy Minister of Economy Tatsyana Starchanka pointed out that the purpose of such reports was to involve a large scientific and public audience into debate for the sake of streamlining the country's socioeconomic policies. Alas, debate still gives its place to monologues by one and the same person at meetings dealing with economic policy.

The World Bank presented its international development report for 2006, Equity and Development, in the end of September. Many conclusions of this report are about Belarus.

 The World Bank and the International Finance Corporation have published one of the most profound business environment studies in the world, "Doing Business in 2006: Creating Jobs." The report gives ratings of business climate regulations and reform in 155 countries. Belarus ranks as low as 106th.

 On the face of it, the arithmetic of Belarusian agriculture is simple and clear, but a closer look at it can be rather perplexing. Government experts estimate that direct and indirect subsidies and subventions to the farming sector will amount to $1.5-1.7 billion in 2005. Net profit of the country's farms totaled 383.2 billion rubels, or nearly $180 million, for the first six months of this year. At the same time, overdue accounts payable amounted to 903.7 billion rubels as of July 1, which is more than twice larger than the profit. Tax and duty arrears alone account for 201.5 billion rubels. With such indicators in place, the Ministry of Agriculture and Foodstuffs reports nevertheless that the share of unprofitable farms is just 5.1 percent, or 104. Just one year ago the respective figure stood at 25.6 percent.

Belarusian business associations and lawmakers are actively discussing a new governmental bill "on the support of small- and medium-sized enterprises." The government offers a format of support that would be beneficial for itself rather than for businesses. It actually seeks to create a structural and regulatory cage for small and medium-sized business owners.

Reform package for Belarus: how to narrow competitiveness gap 

Part A. Factual information  

Corruption Perception Index 2003 score: 4.2, 53^rd place out of 133 countries Bribe Payer Index 2002 score: not surveyed

On October 2, 2002 the president passed the decree № 500 “On the state program to intensify fight with corruption for the period of 2002 – 2006”

On May 26, 2003 the law “On ratification of Convention on criminal responsibility for corruption” № 199-З was put into force.

On November 5, 2003 the Council of Ministers passed the Resolution № 1471 “On adoption of the plan of activities to counteract corruption in state bodies”.

Decree of the president №122 as of March 1, 2004 “On signing by the Republic of Belarus the Convention of the United Nations against corruption”.

Decree of the president № 75 as of February 13, 2004 “On adoption the state program of strengthening fight against corruption in 2004 – 2005”.

After breakup of the Soviet Union millions of people around the world cried with joy, “Communism is dead! Socialism is dead!”. At the same time many university professors and academicians, politicians and political scientists stated somehow less audibly, “Long live socialism! Long live social democracy!” They did not want to start an open struggle with the people who after more than 70 years of struggle finally broke free. They behaved like a well-known villain Ellsworth Toohee from Ayn Rand’s novel “The Fountainhead”. They were cunning enough not to stick their necks out. They were designing a new loop that the people will voluntarily put their neck into and give then – the masters of their souls the end of the rope to manage and pull when necessary.