Prices For Housing, Utilities Services Growing At Frenetic Pace In Belarus
- 20.02.2025, 10:15
Three times faster than inflation.
Payment for housing and utilities services in Belarus is growing at a rate much higher than inflation: in 2025, payments for a typical two-room flat with three residents will increase by about 14% (21 rubles), while the expected inflation rate is not higher than 5%, writes select.by.
The increase in tariffs in 2025 will be held in two stages, as usual. From 1 January, the fee for all services, except for heating and hot water supply, will rise by 17.05 rubles (for a typical flat with three residents at their normal consumption of services). And from 1 June, the cost of heat energy for heating and hot water supply will rise by 3.95 rubles.
The increase in the maximum allowable tariffs for housing and communal services in 2025 will be carried out in accordance with the decree of the President of Belarus, signed on 30 January 2024.
For the second year, the increase is 0.5 of the basic value per typical two-room flat with three residents at the normative consumption of services. In 2024, it was projected to be equal to Br20, while in 2025 it should amount to Br21.
Previously, Belarus had a procedure, when these payments were increased by $5 per year. In ruble terms, it's close to half of the basic unit. Thus, at present, $5 is about Br17. However, by the end of the year, the dollar exchange rate may grow significantly.
Last year, Lukashenka's press service reported that for a typical one-bedroom flat in the heating period, payments will amount to about Br173.15 per month, while in summer - Br132.86. If we assume that the heating period in Belarus lasts about half a year, it turns out that the average payment in 2024 was at the level of about Br153. Consequently, its increase of 21 rubles in 2015 corresponds to an increase of about 14%.
This is an approximate estimate, since the duration of the heating season varies, and the real costs of housing and utilities services may differ from the calculations made a year ago.
Nevertheless, it is clear that tariffs are growing much faster than consumer inflation, which in 2024 was 5.2%, and in 2025 is expected to be no higher than 5%.
However, this planned excess over inflation - the fact is that the cost of housing and utilities services is much higher than the fees, so the state is gradually bringing real payments closer to the cost of production.
As a result, in 2025 the share of housing and utility payments in the income of a family of three with two working people and receiving the national average wage should be 3.8 per cent, and for a family of two pensioners - 8.3 per cent.
In 2024, MART's estimate of these figures was higher: 4.1 per cent and 9.1 per cent respectively. That is, the income of the population is growing at a faster rate than the rent.
At the same time, as the official message reminded, the state provides non-cash housing subsidies to citizens and families, if their monthly utility bills exceed 20% of their average monthly total income in the city and 15% - in rural areas.
Belarusian citizens of working age, who are recognised as not employed in the economy, must pay for housing and utilities services at cost price. It is not yet known how much the tariffs will increase for them, but in absolute terms, the fee is likely to increase by more than 21 rubles.