Keepin touch

Whether you have a question, comment, suggestion or any problem in the purview of the government, send us your message and we will try to respond as soon as possible. If your problem is not in our purview, we will forward your message to the relevant institution.

The Government of the Republic of Serbia

In the service of citizens

Reforms to bring better future

Belgrade, 19 November 2014

Prime Minister Aleksandar Vucic has said that the talks with the International Monetary Fund (IMF) delegation will finish on Thursday, and that Serbia is only a step away from reaching a three-year precautionary arrangement with that international financial institution.

Author: rts.rs

In an interview to Radio-Television of Serbia (RTS), the prime minister noted again that the next year will be rather difficult, but not more difficult than this one, and underscored that the first results of the reforms and consolidation measures will be seen in 2016.

Voicing confidence that the arrangement will be reached, Vucic has said that this will show that the IMF, World Bank (WB) and the European Bank for Reconstruction and Development (EBRD) back Serbia's reforms and economic measures.

Even according to the estimates by a conservative financial organization such as the IMF, Serbia will have a GDP growth of 1.5% in 2016, and next year even up to 2%, Vucic said, adding that he believes that this growth will be somewhat higher, as he expects that the privatization of the Smederevo-based steel mill, Pancevo-based mineral fertilizer plant, and the Priboj-based truck factory FAP will be successfully completed.

He said that there will be no new austerity measures next year, referring to the recently introduced pension and salary cuts, as the state is making spending cuts in many ways, by trimming administration costs, funds for financing of political parties.

On the other hand, the state stepped up the excise and VAT collection, and the collection of taxes from tycoons is higher than ever.

Author: rts.rs

Vucic said that the government has no intention of raising the VAT of 20%, which is now the lowest in the region, but rather to make the best possible business climate and attract more foreign investors.

40 German and 25 French companies recently visited Serbia, evidencing that we have political and economic stability to offer, with a clear program that supports the IMF, he said.

To all who are interested in investment, Serbia can guarantee the political and economic stability based on the clear IMF-backed programme and the market of one billion people as it is the only country that has free trade agreements with the EU, Turkey, Russia, Belarus, Kazakhstan, Vucic said.