OREANDA-NEWS. June 09, 2010. The head of the IMF mission to Belarus Chris Jarvis said during a briefing in Minsk that wages should change in line with productivity growth.

“We made it clear that increases in wages and loans would be unfounded,” Jarvis said when asked about the government’s plans to increase the average wage to the equivalent of USD 500 by the end of the year.

He said the Fund would like to observe an increase in incomes and prosperity in Belarus provided they do not threaten the macroeconomic stability.

He said the new mission’s assessment of the Belarusian economic expansion was higher than the one made in February.

“It is important to understand that this is just the beginning of the recovery, and we want to monitor the situation in Belarus before making conclusions about higher growth rates. To support stability it is crucial to pursue tight fiscal, wage and credit policies,” Jarvis said.