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

Privatisation revenues reach RSD 23 bln since January

Belgrade, 15 October 2007

Serbian Minister of Economy and Regional Development Mladjan Dinkic said today that privatisation revenues since the beginning of the year reached RSD 23 billion, RSD 14.2 billion of which were collected in the past four months, or during the new government’s term in office.

Dinkic told a press conference that in the first five months of the year privatisation revenues stood at RSD 8.8 billion.

He announced that the government will approve a subsidy of €500,000 for socially-owned company Trepca from Kosovska Mitrovica, allowing employment of 250 more people.

Dinkic said that UNMIK sought that the Serbian Privatisation Agency approve the onset of restructuring and privatisation of companies with a majority Serbian population.

He also announced a programme of measures disabling the privatisation of Ineks Intereksport on Brezovica Mt. without Serbia’s consent.

According to him, UNMIK was sent a suggestion that ski resort company Skijalista Srbije take over all ski tracks on Brezovica and invest in the reconstruction of ski lifts and employment of new people, and to make a hotel privatisation agreement.

Dinkic announced that a public invitation for sale of bankrupt Yugoexport will be announced this week and that companies Mostogradnja and Lasta will be offered in a tender.

A public call for bidding for Genex and ICG will be announced in November, Dinkic said and noted that accumulated debts of these companies are huge.

Dinkic recalled that the government adopted a social programme for employees in these companies offering them €250 per year of employment or if they do not agree to the social programme by October 30 they will be offered €100 per year of employment.

Dinkic said that 40 interested companies purchased the documentation for the department store chain company Beograd, which will be offered at a public auction on October 29.

Dinkic stressed that after October 21, the deadline for paying the €44 million deposit, it will be known exactly how many companies will bid for the department store chain company Beograd.

He recalled that the initial price is €140 million and added that the auction will be broadcast on television.

The Minister said that this auction should be the largest privatisation process since the new government was formed and added that 8,700 current and former employees of the Beograd store chain submitted applications for exercising their special rights. Dinkic recalled that employees have no right to stocks as the company is insolvent.

He stressed that if the initial price of €140 million is reached at the auction sale, the fund for compensations to workers will amount to €15 million. If the sale price is higher, the fund may stand at €30 million, he added.

According to Dinkic, talks on Serbia’s membership in the World Trade Organisation (WTO) are going as planned and it is expected that Serbia will become a WTO member by end-2008.

Dinkic announced that the next round of talks will take place in Geneva in November and will be held at the expert level. The meeting should be Serbia’s next step towards the WTO membership.

Dinkic recalled that the Serbian government adopted the action plan on regulations which should be harmonised with those of the WTO and passed a revised offer for customs strains for goods and services in order to be ready for the beginning of talks.

A series of bilateral meetings with WTO members will be held next week, concluded Dinkic.