Lukashenko is losing control over the Belarusian economy

Belarusian dictator Lukashenko is unable to keep the economy in check, which is gradually deteriorating. In an attempt to curb inflation, the authorities are once again resorting to price controls.

This was reported by the Foreign Intelligence Service.

It is noted that price regulation in Belarus accelerates the issuance of cash, which is one of the key inflationary factors.

“In the first half of the year, the volume of cash in circulation grew by 11%. If on January 1, approximately 3.63 billion dollars were circulating in the economy, then as of June 1, it was already about 4.06 billion,” the SZR notes.

Monthly cash growth in April and May was approximately $110 million, and in June it was already over $140 million.

Despite rhetorical statements about restricting consumer lending, household debt to banks reached a record level – about $8.74 billion as of July 1, which is almost 6% more than at the beginning of the year.

According to the results of five months, the growth rate of cash exceeds the growth rate of the economy by almost four times. The SZR reports that as of mid-summer, no radical changes are expected in the Belarusian economy.

“Manual price regulation without taking into account market dynamics of supply and demand, combined with a large-scale injection of money into the system, creates additional inflationary risks. Especially in conditions when the cash supply is growing faster than the real sector,” the Intelligence Service notes.

Earlier it became known that the EU had imposed new tariffs on agricultural products and fertilizers from the Russian Federation and Belarus .

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