{"id":106101,"date":"2024-09-23T13:08:12","date_gmt":"2024-09-23T10:08:12","guid":{"rendered":"https:\/\/pozirk.online\/en\/longreads\/106101\/"},"modified":"2024-09-23T13:08:14","modified_gmt":"2024-09-23T10:08:14","slug":"it-recovery-is-a-slog","status":"publish","type":"longreads","link":"https:\/\/pozirk.online\/en\/longreads\/106101\/","title":{"rendered":"IT recovery is a slog"},"content":{"rendered":"\n<p><strong>The National Statistics Committee (Bie\u0142stat) announced that IT and communication hires exceeded dismissals in summer, with the sector\u2019s contribution to gross domestic product at 5 percent. The government has purged the industry of dissent, putting its strategic development at risk.<\/strong><\/p>\n\n\n\n<figure class=\"block-image block-image-normal\">\n\n    <img decoding=\"async\" width=\"1128\" height=\"752\" src=\"https:\/\/pozirk.online\/wp-content\/uploads\/2024\/02\/cifra_hitech_pixabay_1128x752.jpg\" class=\"attachment-full size-full\" alt=\"\" srcset=\"https:\/\/pozirk.online\/wp-content\/uploads\/2024\/02\/cifra_hitech_pixabay_1128x752.jpg 1128w, https:\/\/pozirk.online\/wp-content\/uploads\/2024\/02\/cifra_hitech_pixabay_1128x752-354x236.jpg 354w, https:\/\/pozirk.online\/wp-content\/uploads\/2024\/02\/cifra_hitech_pixabay_1128x752-734x490.jpg 734w, https:\/\/pozirk.online\/wp-content\/uploads\/2024\/02\/cifra_hitech_pixabay_1128x752-178x118.jpg 178w, https:\/\/pozirk.online\/wp-content\/uploads\/2024\/02\/cifra_hitech_pixabay_1128x752-768x512.jpg 768w\" sizes=\"(max-width: 1128px) 100vw, 1128px\" \/>\n    <figcaption>\n        \n                    <div class=\"block-image__author\">\n                                <span>(pixabay.com)<\/span>\n            <\/div>\n            <\/figcaption>\n<\/figure>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>IT expansion<\/strong><\/h2>\n\n\n\n<p>The Belarusian government has always been proud of the industrial giants inherited from the Soviet Union, manufacturing tractors, heavy dump trucks and agricultural machinery.<\/p>\n\n\n\n<p>However, as information society developed, it offered generous concessions to IT companies.<\/p>\n\n\n\n<p>Officials take credit for the industry\u2019s vigorous expansion early this century, forgetting to give credit to talented and enterprising Belarusians who created truly progressive solutions.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Repression<\/strong><\/h2>\n\n\n\n<p>In 2020 and in the following years, Belarus\u2019 IT sector was in decline amid the political crisis that triggered a mass relocation of companies and professionals abroad. Many of those working for and managing IT companies supported protests against election fraud and then fled the country fearing reprisals.<\/p>\n\n\n\n<p>In 2022, Western sanctions dealt a heavy blow to the industry, making it more difficult for outsourcers to pay to partners in Belarus.<\/p>\n\n\n\n<p><strong>Hired\/Dismissed Difference<\/strong><\/p>\n\n\n\n<p><em>Persons<\/em><\/p>\n\n\n\n<figure class=\"wp-block-embed is-type-wp-embed is-provider-flourish wp-block-embed-flourish\"><div class=\"wp-block-embed__wrapper\">\n<iframe class=\"wp-embedded-content\" sandbox=\"allow-scripts\" security=\"restricted\" title=\"Interactive or visual content\" src=\"https:\/\/flo.uri.sh\/visualisation\/19442838\/embed#?secret=FSVKXhSzE8\" data-secret=\"FSVKXhSzE8\" frameborder=\"0\" scrolling=\"no\" height=\"575\" width=\"500\"><\/iframe>\n<\/div><\/figure>\n\n\n\n<p><em>Jan. 2020 through Aug. 2024<\/em><\/p>\n\n\n\n<p><em>Source: Bie\u0142stat<\/em><\/p>\n\n\n\n<p>The mass emigration resulted in a shortage of talent in Belarus and fueled demand for their services in neighboring countries.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>More controls to fix problems<\/strong><\/h2>\n\n\n\n<p>Belarusian officials played down the IT crisis until recently. The government announced this year that its target was to boost IT services sales to the 2022 level.<\/p>\n\n\n\n<p>It came up with a new solution for international payments by adding a management layer to the Hi-Tech Park executive team. The move was intended to create a channel for companies to receive foreign currency payments that is accessible to government control.<\/p>\n\n\n\n<p>However, the new level of scrutiny is hardly conducive to business.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Classified IT data<\/strong><\/h2>\n\n\n\n<p>The IT sector\u2019s contribution stood at 5 percent of GDP this year, and hires outnumbered dismissals, but no significant improvement has occurred.<\/p>\n\n\n\n<p>After a sharp decline in revenues and profitability, a surge is unlikely without the return of big players who left the country.<\/p>\n\n\n\n<p><strong>Share of the IT and Communication in Belarus&#8217; GDP<\/strong><\/p>\n\n\n\n<figure class=\"wp-block-embed is-type-wp-embed is-provider-flourish wp-block-embed-flourish\"><div class=\"wp-block-embed__wrapper\">\n<iframe class=\"wp-embedded-content\" sandbox=\"allow-scripts\" security=\"restricted\" title=\"Interactive or visual content\" src=\"https:\/\/flo.uri.sh\/visualisation\/19443161\/embed#?secret=CykBRWeSFa\" data-secret=\"CykBRWeSFa\" frameborder=\"0\" scrolling=\"no\" height=\"575\" width=\"500\"><\/iframe>\n<\/div><figcaption class=\"wp-element-caption\"><em>Cumulative total Jan. 2022 through Aug. 2024<\/em><br><em>Source: Bie\u0142stat<\/em><\/figcaption><\/figure>\n\n\n\n<p>Bie\u0142stat would not disclose data on employment in IT. It provides consolidated data for IT and communication without specifying which sector hired more staff.<\/p>\n\n\n\n<p>If there really had been a rise in IT hiring, the statistics would not have been concealed. Meanwhile, business owners need accurate data to plan for expansion.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Revenue<\/strong><\/h2>\n\n\n\n<p>Officials are genuinely interested in boosting budget revenue from IT services.<\/p>\n\n\n\n<p>Following Russia\u2019s example, the government is trying to launch a national intranet with a separate operating system, a messaging application and a YouTube substitute to push propaganda.<\/p>\n\n\n\n<p>Government control, however, is likely to be a drag. We are already seeing this in Russia.<\/p>\n\n\n\n<p>The Russian government offers IT professionals mortgage on preferential terms to help companies retain employees. Similar measures might be too costly for Belarus.<\/p>\n\n\n\n<p>The Belarusian government may try to extract more revenue from IT companies taking advantage of its control over cash flows.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Technology cannot thrive in controlled environment<\/strong><\/h2>\n\n\n\n<p>The sector may benefit from government contracts and sales of services in Russia. Its achievements will depend on infrastructure improvements, including faster connection and hardware upgrades.<\/p>\n\n\n\n<p>Officials are aware of the IT sector\u2019s potential to generate revenue and propel economic growth but reluctant to integrate it into the global market.<\/p>\n\n\n\n<div class=\"insert-block\">\n\n    <div class=\"insert-block__img\">\n        <img decoding=\"async\" width=\"354\" height=\"236\" src=\"https:\/\/pozirk.online\/wp-content\/uploads\/2024\/09\/collag_pozirk-354x236.jpg\" class=\"attachment-medium size-medium\" alt=\"\" srcset=\"https:\/\/pozirk.online\/wp-content\/uploads\/2024\/09\/collag_pozirk-354x236.jpg 354w, https:\/\/pozirk.online\/wp-content\/uploads\/2024\/09\/collag_pozirk-734x490.jpg 734w, https:\/\/pozirk.online\/wp-content\/uploads\/2024\/09\/collag_pozirk-178x118.jpg 178w, https:\/\/pozirk.online\/wp-content\/uploads\/2024\/09\/collag_pozirk-768x512.jpg 768w, https:\/\/pozirk.online\/wp-content\/uploads\/2024\/09\/collag_pozirk.jpg 1083w\" sizes=\"(max-width: 354px) 100vw, 354px\" \/>                        <label class=\"insert-block__tag--mobile\"> The Viewer<\/label>\n\n                <\/div>\n    <div class=\"insert-block__text\">\n                    <label class=\"insert-block__tag\">The Viewer<\/label>\n                <h3 class=\"insert-block__title\">Government\u2019s struggling info projects<\/h3>\n        <div class=\"insert-block__descr\">After the 2020 postelection protests, which relied heavily on social networks, the Belarusian authorities have been busy trying to expand their dominance in the media. Propagandists experiment with alternatives to streaming services and social media and promote their influencers. But &#8230;<\/div>\n        <a class=\"insert-block__btn-block\" href=\"\/en\/longreads\/105117\">\n            <button class=\"btn\">\n                <div class='btn__text'>Read<\/div>\n            <\/button>\n        <\/a>\n    <\/div>\n<\/div>","protected":false},"excerpt":{"rendered":"<p>The National Statistics Committee (Bie\u0142stat) announced that IT and communication hires exceeded dismissals in summer, with the sector\u2019s contribution to gross domestic product at 5 percent. The government has purged the industry of dissent, putting its strategic development at risk. IT expansion The Belarusian government has always been proud of the industrial giants inherited from [&hellip;]<\/p>\n","protected":false},"author":46,"featured_media":65229,"template":"","rubric":[24],"class_list":["post-106101","longreads","type-longreads","status-publish","has-post-thumbnail","hentry","rubric-theviewer"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v25.5 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>IT recovery is a slog | Pozirk<\/title>\n<meta name=\"description\" content=\"The National Statistics Committee (Bie\u0142stat) announced that IT and communication hires exceeded dismissals in summer, with the sector\u2019s contribution to\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/pozirk.online\/en\/longreads\/106101\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" 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