OREANDA-NEWS. January 14, 2011. Belarusian President Alexander Lukashenko has signed ordinance #663 to provide 145.013 billion Belarusian rubles (Br) in state support for state-controlled Orsha flax factory in 2011-2013.

The state will extend 63.951 billion rubles in financial aid to the factory in 2011, 59.622 billion rubles in 2012 and 21.44 billion rubles in 2013.

Also, the document exempts the producer from the VAT imposed on import of machines and equipment for modernization of the company.

Lukashenko also recommended Belarusbank to open a credit line for the flax factory amounting to 13 billion rubles against a guarantee of the government. The loans will be repaid in equal shares within 20 years of January 1, 2013. The government will compensate for Belarusbank’s losses in 2012-2032.

The Council of Ministers has been advised to take a foreign loan of 85.18 million euros for at least 15 years. The loan will then be sold to the flax factory, which will receive 47.82 million euros in 2011, 17.11 million euros in 2012 and 20.25 million euros in 2013.