Minsk - The Belarusian economy showed a steep decline in quality indicators in January 2013 amid a recovery in quantitative indicators. Data from the National Statistics Committee (Belstat) show a significant drop in net profits and profitability, growing indebtedness and deterioration of payment discipline.
The combined net profit of Belarusian companies tumbled 31.4 percent year-on-year to Br 3.55 trillion in January, as sales margins fell to 8.2 percent from 12.6 percent and operating margins slid to 6.5 percent from 10 percent, figures published by Belstat on March 18 show.
The number of companies operating at a loss increased by 16.6 percent to 1,159, and their combined losses surged 80 percent to Br 1.48 trillion. The share of loss-making companies grew to 14.1 percent of the total from 12.1 percent a year earlier.
The steepest drops in net profit in January were 56.3 percent in the financial sector; 50.1 percent in transport; 42.4 percent in industry; 42.6 percent in real estate sales; and 25.4 percent in the hotel and restaurant industry. Among the main types of economic activities, net profit grew in only four: by 66.7 percent in public utilities, 54.8 percent in education, 44.2 percent in communications and 20.3 percent in retail.
Meanwhile, the net losses of unprofitable companies soared 3.1-fold in transport, 4.4-fold in agriculture, and 80 percent in industry and construction.
Internal settlements in Belarus have seen an increase in overdue payables and receivables. Overdue payables stood at Br 16.2 trillion as of February 1, up by 8.4 percent from a month earlier and 44.8 percent from a year earlier, while overdue receivables increased by respectively 10.9 percent and 42.9 percent to Br 19.04 trillion.
Overdue debt on loans and credit grew 6.4 percent in January to Br 1.44 trillion.
The condition of the external settlements of Belarusian companies also deteriorated dramatically. Overdue external receivables grew 24.7 percent to Br 2.55 trillion in January, while overdue external payables increased by 21.7 percent to Br 4.03 trillion, Belstat reported.
