On May 28, 2021, European Commission President Ursula von der Leyen notified Sviatlana Tsikhanouskaya and other democratic leaders that the EU Economic Plan for Democratic Belarus had been approved. This means that the EU has already promised financing for the first 2-3 years of development of new Belarus.
The initiator of the Plan was the Polish government, and Prime Minister of Poland Mateusz Morawiecki voiced the initiative on September 11, 2020. The European Commission then worked out the plan for several months with the assistance of Sviatlana Tsikhanouskaya and her representatives. Aleś Alachnovič, Sviatlana Tsikhanouskaya’s Representative for Economics, explains the objectives of the Plan:
“The total amount of the EU Economic Plan is €3 billion. This amount is divided into three parts:
1. Supporting economic growth.
This part will be allocated directly to the country’s budget – after the democratic changes – and the Ministry of Finance will distribute the funds itself. We presented a draft Program of support to members of the striking movement as well as citizens and businesses affected by repressions. It includes compensation of fines, cancellation of debts on contracts, and rehabilitation of those who have suffered, been imprisoned, and prosecuted for protesting. And part of this program will be financed from the EU Economic Plan.
To support economic growth, a high-level Belarus-EU Investment Forum will be held for possibilities of new Belarus, as well as a high-level EU high-level donors’ meeting to allocate grants for the economic transformation of Belarus.
2. Assistance in organizing reforms.
This part will be allocated for all reforms that new Belarus will need: political, judicial, law enforcement, economic, educational, etc.
3. Investment in infrastructure and the private sector.
This part is allocated by the European Bank for Reconstruction and Development and the European Investment Bank with grant support from the Neighbourhood Investment Platform, to which Belarus does not have access yet. Belarus will receive long-term and low-cost credit resources for investment in transport infrastructure, energy efficiency, waste management, and municipal infrastructure.
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The EU Economic Plan is only the first part of international assistance to the Belarusian economy of the future. €3 billion is just what the EU has already promised to allocate to Belarus for development for the first 2-3 years.
In addition to the EU, several organizations and structures are ready to join the support of Belarus. For example, the IMF: when it signs a stabilization program with a new government, Belarus will be able to count on another $3-4 billion. Also, the World Bank, the International Finance Corporation, democratic countries such as the United Kingdom, Norway, Canada, the United States are ready to support Belarus. According to our calculations, the total amount of aid to new Belarus could amount to 10 billion dollars. We are doing our best so that the day after the new free election, Belarus will receive this assistance and every Belarusian will feel an improvement of his well-being”.
