The concepts and definitions contained in this section are given in accordance with the Law of the Republic of Belarus "On Investments", the Law of the Republic of Belarus "On Concessions" and other normative legal acts of the Republic of Belarus.

Investments

Investments are any property and other objects of civil rights that belong to the investor on the basis of the right of ownership, other legal grounds, allowing him to dispose of such objects invested by the investor in the territory of the Republic of Belarus in the ways provided by this Law, in order to obtain profit (income) and (or) achieve other significant result, or for other purposes not related to personal, family, home and other similar uses, in particular: 

  • movable and immovable property, including shares, stakes in the statutory fund, shares in the property of a commercial organization established on the territory of the Republic of Belarus, financial resources, including borrowed, including loans, credits;
  • the rights of the claim having an estimation of their cost;
  • other objects of civil rights that have an appraisal of their value, with the exception of types of objects of civil rights, whose presence in circulation is not allowed (objects withdrawn from circulation).

Investors: 

citizens of the Republic of Belarus, foreign citizens and stateless persons who permanently reside in the Republic of Belarus, including individual entrepreneurs, as well as legal entities of the Republic of Belarus that invest in the territory of the Republic of Belarus.

Foreign investors:

foreign citizens and stateless persons who do not permanently reside in the Republic of Belarus, citizens of the Republic of Belarus permanently residing outside the Republic of Belarus, foreign and international legal entities (organizations that are not legal entities) investing in the territory of the Republic of Belarus.

Methods of investment

On the territory of the Republic of Belarus investments are made in the following ways:

  • by creation of a commercial organization;
  • by acquisition, creation, including by construction, of immovable property, with the exception of the acquisition or construction by citizens of the Republic of Belarus, foreign citizens and stateless persons of residential buildings, living quarters for the residence of these citizens of the Republic of Belarus, foreign citizens and stateless persons and ( or) members of their families;
  • by acquisition of rights to intellectual property;
  • by acquisition of shares, stakes in the statutory fund, shares in the property of the commercial organization, including cases of an increase in the statutory fund of the commercial organization;
  • on the basis of concession;
  • in other ways, except for those prohibited by the legislative acts of the Republic of Belarus.

Principles of investment:

investors, as well as the state, its bodies and officials operate within the Constitution of the Republic of Belarus and the acts of legislation of the Republic of Belarus adopted in accordance with it (the rule of law principle);

investors are equal before the law and enjoy the rights without any discrimination (the principle of the equality of investors);

investors carry out investments in good faith and reasonably,  without causing harm to another person, the environment, historical and cultural values, infringement of rights and the interests of other persons protected by law or abuse of rights in other forms (the principle of conscientiousness and reasonableness of investment);

interference in private affairs is not permitted, except for cases when such interference is carried out on the basis of legislative acts of the Republic of Belarus in the interests of national security (including environmental protection, historical and cultural values), public order, protection of morals, public health, rights and freedoms of others (the principle of inadmissibility of arbitrary interference in private affairs);

investors are guaranteed the exercise of protection of rights and legal interests in court and in other ways provided for by the legislation of the Republic of Belarus, including international treaties of the Republic of Belarus (the principle of ensuring the restoration of violated rights and legal interests, their judicial protection).

In the implementation of investments, the priority of universally recognized principles of international law is recognized.

It is not allowed to invest in property of legal entities occupying a dominant position in the commodity markets of the Republic of Belarus without the consent of the antimonopoly authority of the Republic of Belarus in cases established by the antimonopoly legislation of the Republic of Belarus, as well as in activities prohibited by legislative acts of the Republic of Belarus. Restrictions on the implementation of investments can also be established on the basis of legislative acts of the Republic of Belarus in the interests of national security (including environmental protection, historical and cultural values), public order, protection of morals, public health, rights and freedoms of others.

Guarantees of transfer of compensation and other funds of foreign investors

Foreign investors are guaranteed unrestricted transfer outside the Republic of Belarus of compensation for the value of the nationalized property and other losses caused by nationalization, as well as the cost of the requisitioned property.

After payment of taxes, fees (duties) and other mandatory payments to the republican and local budgets, state off-budget funds, foreign investors are guaranteed unrestricted transfer from the Republic of Belarus of profits (income) and other legally received funds related to the implementation of investments in the  territory of the Republic of Belarus, as well as payments made in favor of a foreign investor and related to the implementation of investments, including:

financial resources received by foreign investors after partial or complete termination of investment in the territory of the Republic of Belarus, including money received by foreign investors as a result of alienation of investments, as well as property formed as a result of investment, other objects of civil rights;

financial resources due to payment of wages to foreign citizens and stateless persons engaged in labor activity under an employment contract;

financial resources due to foreign investors in accordance with a judicial decision.

The transfer of compensation for the value of nationalized property and other losses caused by nationalization, as well as the cost of requisitioned property, is carried out at the option of a foreign investor in Belarusian rubles or foreign currency to a state indicated by a foreign investor if such transfer does not contradict the international obligations of the Republic of Belarus.

The transfer of profit (income) and other legally received funds related to the implementation of investments in the territory of the Republic of Belarus, as well as payments made in favor of a foreign investor and related to the implementation of investments, may be limited in the manner and on the terms determined by the legislative acts of the Republic of Belarus, and (or) according to the judicial decision adopted in accordance with the legislation of the Republic of Belarus and entered into force.

Protection of property from nationalization and requisition

Property that is an investment or formed as a result of investments cannot be nationalized or requisitioned without compensation.

Nationalization is possible only on motives of social necessity and provided timely and full compensation of the value of the nationalized property and other losses caused by nationalization.

The procedure and conditions for nationalization, as well as payment of compensation for the value of the nationalized property and other losses caused by nationalization, are determined on the basis of the law on the procedure and conditions for the nationalization of this property, adopted in accordance with the Constitution of the Republic of Belarus.

Requisition is possible only in cases of natural disasters, accidents, epidemics, epizootics and in other circumstances that are of an extraordinary nature, in the public interest, upon the decision of state bodies in the manner and under conditions established by law, with payment of compensation to the investor for the value of the requisitioned property.

An investor whose property is requisitioned has the right, upon termination of the circumstances in connection with which the requisition has been made, to enforce by action the return of the remaining property.

The amount of compensation for the value of the nationalized property and other losses caused by nationalization, as well as the cost of the requisitioned property, can be appealed by the investor to the court.

Rights of investors

Investors have the right to exercise their property and non-property rights in accordance with the legislation of the Republic of Belarus.

For investors exclusive rights to objects of intellectual property are recognized.

Investors and (or) commercial organizations established in accordance with the established procedure with the participation of the investor (investors) have the right to grant them land for use, rent, ownership in accordance with the legislation of the Republic of Belarus on the protection and use of land.

Investors have the right to establish on the territory of the Republic of Belarus commercial organizations with any investment, in any organizational and legal forms provided for by the legislation of the Republic of Belarus, taking into account the restrictions established by Article 6 of the Law of the Republic of Belarus "On Investments".

Commercial organizations are established and registered on the territory of the Republic of Belarus in the manner established by the legislation of the Republic of Belarus, regardless of the participation in such an organization of a foreign investor (Decree No. 1 of the President of the Republic of Belarus of 16.01.2009).

Foreign investors have the right to contribute in foreign currency and (or) Belarusian rubles, as well as the right to a non-monetary contribution that has an appraisal when creating a commercial organization, acquiring shares, stakes in the statutory fund, shares in the property of a commercial organization, including cases of an increase in the charter fund of a commercial organization, in accordance with the procedure established by the legislation of the Republic of Belarus.

Investors, in the implementation of investments in priority activities (sectors of the economy) and in other cases established by the legislative acts of the Republic of Belarus and (or) international legal acts binding on the Republic of Belarus, are entitled to use privileges and preferences in accordance with the legislation of the Republic of Belarus and (or) by international legal acts binding on the Republic of Belarus.

An investor has the right to conclude an agreement (agreements) with the Republic of Belarus related (connected) with the implementation of investments, in the manner and under the conditions established by the legislation of the Republic of Belarus.

In order to create additional conditions for investment, an investor or investors have the right to conclude an investment agreement with the Republic of Belarus.

An investment agreement with the Republic of Belarus is concluded on the basis of a decision of a state body or other state organization determined in accordance with the legislative acts of the Republic of Belarus.

Investors and (or) commercial organizations established in accordance with the established procedure with the participation of an investor (investors) have the right to attract foreign citizens and stateless persons to the Republic of Belarus, including those who do not have a permanent residence permit in the Republic of Belarus, to carry out their work in the Republic of Belarus under employment contracts in accordance with the legislation of the Republic of Belarus.

Duties of investors:

comply with the Constitution of the Republic of Belarus and the acts of legislation of the Republic of Belarus adopted in accordance with it;

not to take actions that are unfair competition, as well as actions (inaction) aimed at preventing, eliminating or restricting competition, causing harm to the rights, freedoms, legitimate interests of others;

perform other duties established by the legislation of the Republic of Belarus.

Concessions

Concession is the right to own and use the concession object based on the concession agreement or the right to carry out the type of activity.

Objects of concession may be objects constituting, in accordance with the Constitution of the Republic of Belarus, exclusive property of the state (subsoil, water, forest), objects that are only in the ownership of the state, types of activities.

Awarding a concession for concession objects in Minsk is carried out in four stages:

  1. formation, approval, publication in printed mass media and placement in the global computer network of the Internet of lists of concession objects, determination of the type of the concession contract and the way of selecting the concessionaire;
  2. development, discussion and approval of concession proposals;
  3. organization and conduct of the tender (auction), the determination of the concessionaire;
  4. conclusion of a concession agreement.

Types of concession contracts:

  • full concession agreement;
  • concession agreement on production sharing;
  • concession agreement on provision of services (work performance).