July 14, Minsk /Elena Prus - BELTA/. In Belarus, the largest share of subsidies to the unemployed is allocated for the organisation of entrepreneurial activities in providing services to the public, the employment policy department of the Ministry of Labour and Social Protection informed a BELTA correspondent.
July 14, Minsk /Elena Prus - BELTA/. In Belarus, the largest share of subsidies to the unemployed is allocated for the organisation of entrepreneurial activities in providing services to the public, the employment policy department of the Ministry of Labour and Social Protection informed a BELTA correspondent.
According to specialists, there is a growing trend of interest from the unemployed wishing to start their own business in the service sector. If previously the majority of future businessmen applied to the employment service for subsidies to organise trade activities, now there are only about 20% of them. Primarily, people want to receive financial support for subsequent provision of construction, transport, hairdressing and other services to the public. The increase in the number of subsidies for the creation of production facilities, including in rural areas (for example, in the first half of the year, 46 people received financial support intending to start agricultural production), is also positive.
In January-July of the current year, the state employment service of Belarus assisted 1100 unemployed individuals in organising entrepreneurial and craft activities, as well as services in the field of agro-ecotourism. Every third recipient of financial support is a woman. Among the subsidy recipients, the majority are city residents (seven out of ten). This is explained by the fact that three-quarters of the country's population are urban dwellers, and consequently, there are significantly more unemployed people in cities than in rural areas, meaning more applicants for subsidies. Although special attention is paid to rural residents, and the subsidy amount for them is more substantial.
Funds for self-employment development are allocated from the Social Protection Fund of the Ministry of Labour and Social Protection. The subsidy amount for potential entrepreneurs depends on their place of residence: if they live in rural areas and small towns with a consistently high unemployment rate, they receive an amount equal to 15 living wage budgets per capita (currently, the living wage is Br1,212,470), in other cases - 11 living wage budgets. Financial support can also be obtained for establishing a peasant (farm) holding, a private unitary enterprise, for organising craft activities, and for developing agro-ecotourism. So far, few have taken advantage of this opportunity: 3 people this year have received subsidies for establishing peasant (farm) holdings, 22 for private unitary enterprises, 47 for craft activities, and 6 for agro-ecotourism.
Subsidies are also provided to the unemployed for organising entrepreneurial activities related to the implementation of innovative developments, in the amount of 20 times the living wage budget. However, no one has used this provision since its introduction.
It should be noted that the employment service not only assists potential entrepreneurs with financial resources but also provides organisational support: the unemployed are informed about the procedures and conditions for business start-up assistance, referred for vocational training if necessary, and helped to prepare the required documents for financial aid. Moreover, this year has seen an unprecedented surge in those wishing to learn the basics of business, with 729 people receiving vocational training referrals, as highlighted by the Ministry of Labour and Social Protection.
The State Programme for Employment Promotion of the Population of the Republic of Belarus for 2014 provides for the allocation of financial support to 2155 unemployed individuals. Thus, the annual target for assisting the unemployed in starting their own businesses has been met by 51% in six months. Among the regions of the republic, the highest indicator is in the Vitebsk region (63%), the lowest is in the Grodno region (37.8%), and the largest number of subsidy recipients in the first half of the year is in the Gomel region - 239 people.
In 2013, the Belarusian employment service assisted 2571 unemployed individuals in organising entrepreneurial activities, in 2012 - 3069, and in 2011 - 2193.
The Ministry recalled that this year the responsibility of a subsidy recipient for not engaging in entrepreneurial activity has been tightened. This decision is contained in Resolution of the Council of Ministers No. 106, which entered into force in May of this year. If a person does not engage in entrepreneurial activity for more than 6 months within a 12-month period from the date of state registration as an individual entrepreneur or registration of a private unitary enterprise, or a peasant (farm) holding, then they are obliged to return the subsidy amount within 7 days from the date the obligation to return it arises. Exceptions include cases of suspension of entrepreneurial activity due to childcare up to 3 years of age, as well as non-engagement in entrepreneurial activity during the period of serving a sentence related to the restriction of the right to engage in entrepreneurial activity, a ruling on imposing an administrative penalty in the form of deprivation of the right to engage in a specific activity, during the period of temporary disability, and other cases provided for by law (conscription for active military service, military and special training, etc.).-0-
News of Belarus (BELTA)