Belarus Proposes Higher Rents For New Rental Housing. Government Explains How Rates Will Increase

The Belarusian government has proposed raising rents for modern rental housing. As Deputy Prime Minister Aliaksandr Tsierakhau told reporters following a meeting with Aliaksandr Lukashenka on the prospects for housing construction and the use of rental housing, the initiative is based on a proposal by the State Control Committee.

According to Tsierakhau, the increase is linked to the fact that new rental apartments will be equipped with a minimum set of appliances and furniture starting this year. In particular, they are to have a refrigerator, washing machine, microwave oven and built-in wardrobe.

“Attention was also drawn to the fact that a decision was made this year to equip rental housing with the minimum necessary set of appliances. In other words, a rental apartment will now be equipped with a refrigerator, washing machine and microwave oven, as well as some absolutely minimal set, such as a built-in wardrobe. So that once a person moves in, they have somewhere to put their belongings and can properly perform their official duties,” he said.

“The formula is really very simple; anyone can find it on the internet — it is tied to the base amount. And today the formula is calculated in such a way that 0.2 of the base amount is 9 rubles per square metre, multiplied by the area of the apartment,” the deputy prime minister said.

To explain how the formula is calculated, he gave the example of a two-room apartment with an area of 60 square metres. In this case, the basic rent is 540 rubles per month before reduced and territorial coefficients are applied.

After the increase, the rate will be 0.3 of the base amount. The rent also depends on the location of the housing. A coefficient of 0.1 applies in rural areas, while in Minsk the coefficient can range from 0.5 to 1.5.

“After that, there is a system of coefficients that are applied depending on where the apartment is located. An apartment located in a rural area has a coefficient of 0.1. So, essentially, a person pays 54 rubles for this apartment. And in the city of Minsk, for example. Minsk is also a large city, there are different areas, and the coefficient here also ranges from 0.5 to 1.5. So, the highest amount, obviously, is 540 rubles multiplied by 1.5,” he explained.

An additional reduced coefficient of 0.1 is provided for young professionals, civil servants and certain categories of workers in demand.

“So all young professionals, civil servants who come to work, and young workers in sought-after categories determined by the executive committees, all pay with a coefficient of 0.1. That is another reduced coefficient. Therefore, if this apartment or house is located, for example, in a rural area, the cost of this housing today is 5.4 rubles. Increasing the coefficient from 0.2 to 0.3 means an increase of 2.7 rubles for this apartment.

If we are talking about large population centres, the increase will amount to 20–30 rubles for the entire apartment. When we compare it with the commercial cost of renting an apartment and with the state rate, even after the increase it will be two to three times lower than the commercial rate,” Tsierakhau said.

He also said that Belarus plans to build one and a half times more rental housing in 2026 than in the previous year. Overall, more than 5 million square metres of housing is planned to be built over the five-year period.