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The Government of the Republic of Serbia

In the service of citizens

Great Britain donates €3.4 for poverty reduction in Serbia

Belgrade, 14 December 2005

Serbian Deputy Prime Minister Miroljub Labus and British Ambassador to Serbia-Montenegro David Gowan signed today a Memorandum of Understanding and Donation from the UK government to the Serbian government, worth €3.4 million, which will enable the work of a team for implementation of the Poverty Reduction Strategy over next three years.

David Gowan and Miroljub Labus

Following the signing of the Memorandum, Labus recalled that the Serbian government had formed an expert team which will deal with the implementation of the Poverty Reduction Strategy. This team will coordinate the work of various factors in the process of reducing poverty, and these are the government, ministries, non-governmental organisations, local self-governments, trade unions, and international donors, he explained.

Also, the team is tasked with raising additional funds, as well as with preparation of various programmes for reducing poverty, the deputy prime minister said. He added that the government's priorities are European integration and poverty reduction and that both processes should cut unemployment and improve the quality of living.

Our aim is to cut by half the level of poverty by 2010, Labus said and pointed out that the government's policy for poverty reduction is directed at certain areas in which poverty is very high, such as southeastern and eastern Serbia, Banat, and some municipalities in western and southwestern Serbia.

This policy is also aimed at more vulnerable population categories such as the young and those living in rural areas.

Labus said that the institutions in Serbia which finance the processes of poverty reduction are the Development Fund, the Rural Development Fund, and the Fund for Social Innovations. He thanked the UK government for the assistance offered so far.

Gowen said that the total aid of Great Britain for the implementation of the strategy is €3.9 million and voiced hope that the fight against poverty will remain the priority for the Serbian government. The aid is intended for mitigating the negative circumstances of the transition process in Serbia, he explained.