OREANDA-NEWS. Belarus is expected to reduce the refinancing rate from 23.5% at the moment to 13% per annum by the end of 2014, Belarus' First Deputy Premier Vladimir Semashko said Thursday.

In his words, Belarus' key rate is projected at the level of 16-17% in 2014 with plans to reduce it further to 13% in December 2014.

“NBB chief Nadezhda Yermakova ahs assured we will have it reduced to 13% in December,” Semashko said. “This is worse than it used to be, but better than now. The government plans to pay partial reimbursement to company for the cost of credits,” Semashko said.

“This point of view is widely supported in the government and by the Prime Minister in particular. Ruble loans with an interest rate of 45-53% per annum are unreasonable expensive,” Semashko said. “Even the best-performing companies cannot afford to take out loans like that, as they will go bankrupt,” the vice premier said.