OREANDA-NEWS. September 3, 2010. Belarus plans to sell USD 1 billion worth of Eurobond in 2011, some of the borrowed funds will be spent to cover the state budget deficit, which is projected at 6 trillion Belarusian rubles (Br), or 3% of GDP, according to the explanatory note by Finance Minister Andrei Kharkovets accompanying the draft state budget for 2011 sent to the lower chamber of parliament, the House of Representatives.

Internal sources will be used to provide 3.381 trillion rubles, and external sources, 2.619 trillion rubles, equivalent to USD 826.3 million.

Internal sources include issue and placement of state securities on the domestic market amounting to 262.8 billion rubles.

The reserves of the National Development Fund amounting to 655.5 billion rubles have been accumulated in internal sources of financing of the state budget deficit.

Proceeds from sale of state-owned property, including shares, that will be used to finance the budget deficit, are projected at 17.2 billion rubles in 2011.

“Also, provisions for the government to meet its commitments regarding repayment and service of loans issued by Belarusian banks amount to 843.5 billion rubles.”

No loans from the central bank will be required to cover the state budget deficit in 2011.