Is Belarus EOA’s outsourcing destination for 2016?

Belarus is one of the shortlisted countries in the European Outsourcing Association’s shortlist for the Outsourcing Destination of the Year 2016. Although not included on AT Kearney’s 2016 Global Services Location Index, it shocked the world being on the said list.

According to the European Outsourcing Association (EOA), other shortlisted countries include Egypt, Fiji and Sri Lanka.

The World Bank also took notice of Belarus and have placed it at 44th place out of the 189 economies in their 2016 Doing Business Report. At the same report, Belarus placed in the 91st place in 2011 proving that it has improved a lot since then.

As reported in 2014 by Belarus Digest, the country’s IT outsourcing market to grow at an annual rate of 17.8% by 2018.

The country became an emerging outsourcing destination because of a supportive government which creates a favorable legislation to attract investors.

The government started to prioritize innovation and technology in the mid-2000s. To improve the country’s business climate, Minsk simplified the process of setting up a business and establishing a preferential taxation regime.

Belarus High Technologies Park
Belarus’ High Technologies Park in Minsk, Belarus. Photo not ours

Valery Tsepkalo, a former ambassador to the United States, spearheaded the state-driven innovation approach. He is an official aide to Lukashenka. He also directs Belarus’ first High-Tech Park, established in 2005 to support the software industry. The Park, hosting some 140 companies, has an extremely young workforce, with 70 percent of employees aged 28 and under.

This shows how Belarus excels in internet technology outsourcing (ITO). They have an efficient technological infrastructure putting computer and IT services in the third largest sector in the entire country.

Considerable investment appears to have gone into the advancement of the country’s information and communications technology (ICT) capability, a task identified as a priority by the government who is determined to achieve international recognition for Belarus as a regional leader in ICT.

There are a total of 55 higher educational institutions in Belarus. These institutional are producing 16,000 ICT graduates annually.

With the current shortage of potential talent pool in the UK, Belarus might just have the solution.

Popular companies that outsource in Belarus include Adidas, Paypal, SAP, Microsoft, BT, the London Stock Exchange and Coca Cola.

Winner will be announced on October 6 at the awards ceremony event in Sofia, Bulgaria.

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