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The Top 100 NGOs 2013. - Akshaya Patra

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saBali resiDenT, ivan,<br />

PrinciPal guiDe aT<br />

<strong>The</strong> village’s moDesT<br />

eThnological museum.<br />

local ProDuce on sale aT<br />

a cenTral FooD markeT<br />

in minsk.<br />

FeaTure FeaTure<br />

<strong>The</strong> gloBal Journal + January & FeBruary 2013<br />

and exports oil products bought from<br />

Russia at discounted prices. Chizh has<br />

also diversified into civil engineering,<br />

construction, manufacturing,<br />

restaurants, food production and a<br />

network of hypermarkets – the Prostore<br />

chain. He has been especially prominent<br />

in media headlines in recent times for<br />

building the first luxury Kempinski<br />

hotel in central Minsk, just behind the<br />

Circus and near the unchanged Sovietera<br />

Gorki Park. Although associated<br />

with the Slovenian Riko Group in the<br />

context of that project, Chizh has<br />

failed, however, to escape the EU’s<br />

sanction list.<br />

Blacklisted since March, Chizh is<br />

undoubtedly paying for his close<br />

links with Lukashenko, and, by<br />

implication, for his impressive success.<br />

Yet in compensation for the European<br />

punishment, his boss has just granted<br />

Chizh a 99-year concession over his<br />

native Sabali village. Essentially, this<br />

means that every single square inch of<br />

the land where he grew up ultimately<br />

belongs to him. After years of fruitful<br />

wanderings in the capital, the oligarch<br />

has returned home. He has brought<br />

with him an immense sponsorship<br />

project focused on building a large<br />

complex boasting a hotel, restaurant,<br />

ethno-museum and a host of other<br />

infrastructure. In theory, Sabali will<br />

benefit as a revitalized rural center. At<br />

the very least, the faded paintwork of<br />

the wooden houses will be refreshed.<br />

Belarus is not devoid of successful<br />

private companies. Chizh’s Triple<br />

ranks among the leaders, but many<br />

others follow close behind. Alexander<br />

Moshensky’s Santa Impex for food –<br />

particularly seafood – processing, Pavel<br />

<strong>Top</strong>uzidis’ Tabak Invest, Alexander<br />

Shakutin’s Amkodor for road-building<br />

machinery, or Anatoly Ternavsky’s<br />

Univest-M group – with activities<br />

ranging from petrochemical exports to<br />

banking, restaurants and construction –<br />

have no reason to be ashamed. Among<br />

these business leaders, only Ternavsky<br />

has been the subject of EU sanctions.<br />

Notably, the other three have significant<br />

investments in neighboring European<br />

countries. <strong>The</strong> old Belarusian economic<br />

clichés of arms traders linked to rogue<br />

states (such as fellow oligarch Vladimir<br />

Peftiev – blacklisted) and manufacturers<br />

of heavy machinery have faded away.<br />

Now engaged in more conventional<br />

enterprises, most ‘normal’ Belarusian<br />

businesses owe their success to efficient<br />

and skilled CEOs, whose first talent is<br />

to maintain close, loyal and ‘friendly’<br />

relations with their unique common<br />

business boss: Lukashenko. Ironically,<br />

in the few remaining post-Soviet<br />

dictatorships, the Marxist economic<br />

model has been reversed. Political<br />

superstructures today prevail over<br />

the base.<br />

<strong>The</strong> new bourgeois class of Belarus,<br />

owners of the means of production,<br />

have been reduced to acting as<br />

presidential ‘wallet persons,’ or koshelki<br />

as they are nicknamed in Russian. <strong>The</strong>y<br />

‘<strong>The</strong> two Baltic<br />

ports profit so<br />

heavily from<br />

acting as the<br />

transit point for<br />

goods imported<br />

by Belarus that<br />

it would have<br />

been commercially<br />

self-destructive<br />

to participate<br />

actively in<br />

stemming the flow.’<br />

cannot even pretend to stand alone as<br />

independent partners or shareholders<br />

in the national wealth. Lukashenko<br />

usually considers these individuals as<br />

simple business managers tasked with<br />

implementing his instructions. <strong>The</strong>ir<br />

dependence is as prodigious as their<br />

efforts to maintain the President’s<br />

confidence. Ternavsky, for instance, has<br />

been obliged to employ Lukashenko’s<br />

daughter-in-law, Anna. He also<br />

sponsors the Presidential Sport’s<br />

Club, headed by Dmitri Lukashenko,<br />

Alexander’s son and Anna’s husband.<br />

Meanwhile, Chizh seems to prefer<br />

playing ice hockey on the same team<br />

as the President. He cannot refuse to<br />

sponsor the cultural resuscitation of<br />

Belarus’ birch-dotted countryside in<br />

<strong>The</strong>gloBalJournal.neT<br />

104 105<br />

the south, and when, for mysterious<br />

reasons, several of his top managers<br />

were arrested, he remained silent. <strong>The</strong><br />

new Christian cross presented recently<br />

to Sabali by a Polish historical society,<br />

commemorating the Polish-Belarusian<br />

insurrection against Tsarist Russia<br />

in 1863 – and which will hardly be a<br />

tourist attraction in the middle<br />

of the kolkhoz – has a poignant<br />

political meaning.<br />

In Belarus, Lukashenko decides almost<br />

all matters. <strong>The</strong> 58-year old former<br />

state farm manager assumed power in<br />

1994, and recently described himself<br />

in a widely publicized interview as<br />

“the last and only dictator in Europe.”<br />

Though most infamous internationally<br />

as a result of accusations of torture<br />

and other human rights abuses – often<br />

focused on opposition figures – his<br />

political choices also determine business<br />

strategies. Chizh may have willingly<br />

agreed to allocate some money to his<br />

childhood village so long as he could<br />

also run his business according to his<br />

own interests and economic rationale.<br />

Now on the EU sanctions list, he<br />

has fallen as collateral damage in the<br />

President’s acrimonious relations with<br />

Europe, entrapped within Belarusian<br />

diplomatic strategies.<br />

For Chizh, as for most of his colleagues,<br />

there are obvious advantages in<br />

developing overseas trade relationships<br />

and increasing their presence in<br />

European markets. Yet, they are<br />

increasingly prevented from doing<br />

so. Chizh is officially stigmatized,<br />

along with other not-yet-blacklisted<br />

businessmen, and seen as guilty by<br />

association. Coping with the growing<br />

gap between attractive trading<br />

opportunities in Europe and necessary<br />

political loyalty to the boss in Minsk<br />

has proven especially delicate. No<br />

leading business figures can speak out<br />

against their President – at least not<br />

yet – since they are kept divided by<br />

astute pressures from the political and<br />

security services. Consequently, some<br />

have already opted to resettle in Russia,<br />

where inflation is under tighter control<br />

and local authorities can guarantee<br />

more sustainable economic and political<br />

conditions. But those Belarusian firms<br />

in Russia also operate within a larger<br />

market, faced with – usually – stronger<br />

competitors. As a result, they are<br />

vulnerable to becoming easy targets for

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