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BANKING SYSTEM

 

The Banking Code of the Republic of Belarus constitutes the legal basis for operation of the national banking system.

The banking system of Belarus is a two-level system consisting of the National Bank of the Republic of Belarus and of commercial banks. Supervising functions, registration and licensing of commercial banks are exercised by the National Bank.

The procedure of formation and registration, the rights and duties and functions of commercial banks and of the National Bank of the Republic of Belarus, as well as standards and norms of banking supervision do not differ in principle from similar regulatory standards of states with a developed market economy. All this allows the national banking system a deeper integration into the world banking system.

As for 1 January 2002, the banking system of the Republic of Belarus was constituted by 28 commercial banks, of which 20 were banks with participation of foreign capital. On the average, the Republic has one credit institution (banks and banks' subsidiaries) per 18,000 people.

Belarus can be classified as a country with a high share of concentration of banking capital in the group of leading banks. The six largest banks of Belarus, as regards their total assets, are" "Belarusbank", "Belagro- prombank", "Belpromstroybank", "Priorbank", "Belvnesheconombank", and "Belbusinessbank". Their share in the total amount of assets of the operating banks of the Republic constitutes about 85%. By this indicator Belarus corresponds approximately to such countries as Sweden, the Netherlands, Finland, and Greece.

 

 

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National Centre for Marketing and Price Study

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Online Catalogue of Belarusian Goods, Services and Companies
at the National Centre for Marketing and Price Study

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GUIDEBOOK ON DOING BUSINESS IN BELARUS
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Internet resource on investment potential of Belarus

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Belarus Investment Projects

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Belarus Innovation Projects

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As for 1 January 2001, the state had its share in the authorised capital of 13 commercial banks (privatisation processes in Belarus are conducted in conformity with the Law "On Destatisation And Privatisation Of State Property In The Republic of Belarus", which was passed in January 1993). However the share of the state constituted more than 50% in the authorised capital of only 7 banks. These banks, along with others, conduct credit support of the key state programmes of social and economic development of the country.

Shareholders of the Belarusian banks are banks, firms and natural persons from Russia, Great Britain, USA, Switzerland, Germany, Austria, Latvia, Panama, Belize, Ukraine, the Bahamas, Ireland, Finland, Cyprus, and the Republic of Nauru. The share of foreign investments in the gross authorised capital of the banks operating in the territory of Belarus constitutes about 6% and is gradually increasing.

A number of known banks from Germany, Russia, Poland and other countries (for example "Commerzbank", "Dresdner Bank", "Bank Depozytovo Kredytovy w Lublinie", etc.) opened their representations in Belarus.

Profitability of the Belarusian banks as regards their equity constituted, according to the results of 2000, 30% on the average for all banks, and 48% for joint and foreign banks.