Starting a business in Belarus: foreigner's guide (2026)

The Belarusian Council of Ministers approved the five-year State Program 'Steady Entrepreneurship' for 2026–2030, doubling the budget allocation for SME support compared to the prior plan and targeting creation of favorable conditions for small and medium enterprises. The program is the government's primary policy instrument for business climate reform following the elimination of the individual entrepreneur form.

The House of Representatives adopted the draft law 'On Amending Laws on Individual Entrepreneurial Activity' in its second reading, formally codifying legal definitions for individual entrepreneurs, independent professionals, and craftspeople, and clarifying the permitted activity scope. The bill finalises the legal architecture of the post-IE reform era as the transition deadline of January 1, 2026 approaches.

Under Law No. 365-Z, new registrations of individual entrepreneurs were halted nationwide from October 1, 2024, and a list of only 87 permitted activity types entered into force. Existing IEs operating outside the approved list were required to convert to an LLC or cease activity by January 1, 2026, effectively ending the individual entrepreneur as a general-purpose business vehicle in Belarus.

Law No. 365-Z 'On Amending Laws on Business Activity' was signed, representing the most fundamental reform of the sole-trader business form since 2009. It restricted IEs to 87 activity categories, banned new IE registrations from October 2024, and mandated conversion of all out-of-scope IEs to LLC by end of 2025 through a 'seamless transition' procedure preserving tax and contractual continuity.

Belarusian authorities expanded the list of companies whose shareholders from designated 'unfriendly states' are barred from disposing of or reorganizing their ownership stakes from the original 190 to 1,849 companies, including at least 26 U.S.-linked entities. The expansion dramatically widened the trap for Western-linked founders and investors seeking to exit or liquidate Belarusian businesses.

A law entered into force prohibiting shareholders from countries deemed 'unfriendly' (including the EU, US, and UK) from disposing of shares in approximately 190 Belarusian companies, including EPAM Systems and Lukoil Belarus. The measure was a direct retaliation against Western sanctions imposed after Belarus supported Russia's invasion of Ukraine, and fundamentally altered the business exit landscape for foreign-linked founders.

Decree No. 8, effective March 28, 2018, extended the High-Tech Park's special legal and tax regime to January 1, 2049, broadened eligible HTP business categories to include marketplaces, fintech and AI firms, and introduced unique legal instruments including smart contracts and stock options. It simplified work permits for foreign specialists and created a highly attractive, parallel fast-track regime for founding IT companies in Belarus distinct from the standard commercial registration pathway.

Decree No. 1 (effective February 1, 2009) replaced a multi-month registration process with a declarative one-stop-shop system completing in a single business day. It eliminated minimum charter capital requirements for most company types, enabled electronic registration at no cost, and streamlined business liquidation on the same basis. Belarus subsequently ranked 9th globally for speed of starting a business in the World Bank Doing Business 2013 report and 44th overall by 2016.

The Investment Code (Law No. 37-Z of June 22, 2001) established the foundational legal framework for all investment in Belarus, guaranteeing equal treatment and protections for domestic and foreign investors and the right to repatriate profits. It authorised foreign nationals to incorporate commercial entities in any legal form permitted under Belarusian law and remains the cornerstone investor-protection statute underpinning business formation.