OREANDA-NEWS  On 07 November was announced, that Belarus’ GDP may grow 10.6% on the year in January-October 2008, Economy Minister Nikolai Zaichenko said during an enlarged session of the Council of Ministers.

“The provisional estimates for the first ten months show that positive trends still prevail, although GDP growth may slow down by 0.1 percentage point. The chief factors are the probable reduction in retail sales and high likelihood of difficulties with exports,” Zaichenko said.

Belarus’ gross domestic product expanded 10.7% on the year in the first nine months. Capital investment rose 23.2%, a bit short of the 25% target.

Zaichenko said three targets of 19 had not been met in the first three quarters. Imports rose 54.8%, well ahead of the 125%-13.5% target; foreign trade deficit broadened to USD 2.098 billion, which compares to the original target of USD 1.4-USD 1.42 billion, and farm output rose only 6.9%, short of the 7%-8% target.

The trade deficit is due to operations with intermediate materials, like energy, raw materials and components, Zaichenko said.

Belarus has faced serious problems with sales of artificial fibers, polyamides and caprolactam.

“Buyers of potash fertilizers in Europe, Southeast Asia and Brazil cannot meet the declared volume of imports because of lower consumption and reduction in bank lending,” Zaichenko said.