Russia's DPM refuses to discuss tax manoeuvre compensation with Belarusians

Russian Deputy Prime Minister Dmitri Kozak refused to discuss with a Belarusian delegation the compensation for the losses due to the tax manoeuver as well as the discount for Russia's natural gas, reports interfax.ru quoting a source familiar with the negotiations. Kozak made it clear that nothing would change unless 'principal decisions towards a further integration of Belarus and Russia in the framework of the union state.' Russian President Vladimir Putin recently told something similar to Belarus President Aliaksandr Putin.

The talks took place in Moscow on 11 December. Belarus was represented by Deputy Prime Minister Ihar Lyashenka and Belarus Ambassador in Moscow Uladzimir Syamashka. Remarkably, Lukashenka was just very recently convinced that Russia would offer compensation.

Under the Russian tax manoeuver, export duties on crude oil and oil products will be gradually brought down to zero. It will make Russian oil more expensive for Belarus. In the next four years to come, Belarus may lose up to $11 billion due to the tax manoeuver in the oil industry.