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The Government of the Republic of Serbia

In the service of citizens

Government to form committee for purchasing state flats

Belgrade, 20 August 2009

Minister of Environment and Spatial Planning Oliver Dulic today stated that the government intends to form a committee tasked with overseeing the purchase of state-owned flats.

Oliver Dulic

At a press conference following the government session at which the decree enabling the purchase of state-owned flats at prices lower than market value was amended, Dulic explained that the committee will be authorised to decide whether the occupants of such flats will be allowed to purchase them in future.

He added that the new decree does not envisage any terms under which the flats could be purchased.

Dulic noted that his Ministry will define a new decree to determine the conditions under which employees in public administration could be allowed to purchase state-owned flats.

The Minister added that the report of the auditing commission established that in the past the flats were purchased in line with the decree in force, announcing that the government may begin a new building cycle in September.

Dulic stated that at today’s session the government did not look into the strategy for talks with the IMF, but stressed that it does not intend to propose tax increases or introduce new taxes to boost budgetary income.

At the talks with IMF representatives, scheduled for August 24 in Belgrade, we will propose to reduce public expenses by cutting costs within the public administration.

By rationalising the number of employees in state administration the government hopes to reduce budget expenses, specified the Minister.

He added that all sectors are drawing up estimates of the number of surplus employees, which will help the state to save money and improve efficiency.

Dulic voiced his hope that the government and the IMF will reach an agreement, so that the government will not be forced to resort to more radical measures to balance the budget.