
This small company could be one of the biggest winners of the electric car boom as tech giants and hedge funds fight over the limited supply of Cobalt.
Click here to find out moreBeyond the role played by the relatively positive Russia-Belarus relations, the stability of the country’s political system is also in part guaranteed by the weakness of the local opposition. While the wave of protests that took place earlier this year raised concerns due to their volume and frequency, the majority of public rallies in Belarus are generally sparked by socio-economic grievances unlikely to substantially challenge ruling authorities. Opposition rallies sporadically occur in major cities but these have so far failed to garner sufficient support.A key reason behind Belarus’ lasting stability can also be found behind the opposition’s lack of strong leaders. Minsk’s economic reliance on Moscow leads to the presence of a business environment closely associated with the current government structure as well as with Russian interests.This comes as a clear differentiator from Ukraine where a large number of oligarchs and business leaders developed economic interests opposed to Russian ones. The ongoing reliance of Belarus on Russia is likely to guarantee at least a certain degree of political stability in the country.The Belarusian state, through its special police and domestic intelligence agencies, has proven capable of monitoring and responding to the threat posed by radical elements operating within the Belarusian opposition. This periodically results in the preventive detention of elements deemed as potential threats to national security and stability, especially suspects believed to be close to anarchist organisations.Related: Russia Hits 100% Compliance With OPEC CutThese methods were heavily employed in the lead-up to March protests thus diffusing the risk of a wider and potentially violent round of unrest. While these tactics are widely criticised by human rights activists and the European Union (EU), they have so far enabled the Belarusian government to weaken groups that could have mounted a challenge to police forces during protests.Economic interests linked to gradual openingThe last point to consider when assessing the Belarusian political stability is the fact that under Lukashenko’s latest diplomatic maneuvers, the country has gradually benefitted from an improved economic outlook. The EU suspended a part of its sanction regime against Belarus in February 2016 and diplomatic relations between Minsk and the west started slowly improving following the October 2015 presidential elections. While the EU continues to call for the respect of human rights in Belarus, the government is trying to position itself as partner in Eastern Europe.This gradual opening has also been highlighted by the implementation of a 5-day visa free policy aimed at boosting the Belarusian tourism sector. This policy is implemented for more than 80 countries, as of December 2016, and has led to substantial positive results. The passenger traffic in the Minsk international airport also grew by 30 percent in the first trimester of 2017 in comparison to the same period last year.These indicators suggest that, as segments of the local population see their living standards improve due to government-backed policies, it is less likely that opposition groups will gain support with political demands linked to major claims that could destabilize the country.The relative improvement of living standards has also been driven by the growth of the IT sector in Belarus. The government continues to sporadically implement restrictive regulations and public interference slows the potential growth of the sector.However, a dynamic exists in Minsk in which highly skilled young IT employees are driving economic development into the capital. While this emerging trend is unlikely to be politically pro-government, it is also probable that the gradual improvement of economic conditions and direct and indirect creation of jobs linked to the IT sphere diminishes the potential attraction of radical opposition groups.By Global Risk Insights