Novikova: Belarus Must Focus on Development of High Technologies

In a recent interview, Professor Irina Novikova, a doctor of economic sciences, discussed what types of production could make the upcoming five-year period successful for Belarus. She reflected on the historical trade turnover between the Russian Federation and the Republic of Belarus in 2024, and was asked whether this trend would continue. "I believe it will remain in place through 2025," she suggested.

"With the onset of sanctions, we occupied the niches vacated by companies that exited Russia. However, should these sanctions be lifted, we will face intense competition," Novikova cautioned. She recalled the President's remarks about the challenging nature of the upcoming five-year period, emphasizing the need not only to capture niches within Russia but also to seek out markets for our mid-tech products.

"It would be advantageous if electronics were to develop, enabling us to continue supplying this product to Russia. Likewise, it would be great if the high-tech products produced in our republic were to expand. This would be excellent. Nonetheless, I still rely on the President's words: this five-year period will indeed be challenging."

Novikova also drew attention to Belarus's collaboration with Russian regions. "Russia is a vast country. It is clear that the central government is aware of the situation, but it does not delve into the specifics of each region. Therefore, when meetings are held at the regional level, businesses come together to express their needs. We encounter questions regarding where we can place this production and how collaboration can be organized. Belarus is beginning to establish its first joint ventures in Bashkortostan, and several joint enterprises (branches of our large companies) are being created in the Urals."

The doctor of economic sciences noted that, particularly in the post-war period, American corporations proliferated their branches around the globe. "We too are beginning this process, though we are currently initiating such collaborations with Russia. Our companies have branches not only in Russia but also in Central Asia, including branches in Tajikistan and Azerbaijan. A branch of our company has already been established in the Suez Canal Economic Zone in Egypt," she detailed.

"However, they rightly set the task that currently, 80% of our products are made there, but localization should reach 30% within five years. This means competition will also intensify. We need to explore where else we can expand."

Irina Novikova concluded: "We must focus on the development of high technologies, as the President discussed in the November meeting. We need these high technologies. We would not fear the next five-year period being particularly challenging if we could establish production akin to that of Apple or Samsung—high-tech manufacturing whose products are sought after worldwide. If we were to have such products, then undoubtedly, we could afford to relax a little."