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The Government of the Republic of Serbia

In the service of citizens

German aid for development projects in Serbia

Belgrade, 28 October 2010

Deputy Prime Minister for European Integration Bozidar Djelic and Deputy Director General at the German Federal Ministry for Economic Cooperation and Development Ulla Mikota signed a record on the negotiations between the governments of Germany and Serbia in the field of developmental cooperation for 2010 in Belgrade today.

From left: Ulla Mikota, Wolfram Maas, Director of the Serbian government’s EU Integration Office Milica Delevic and Bozidar Djelic

Djelic said on this occasion that the German government has approved assistance to Serbia in the amount of €123.65 million that will be used next year for projects in the area of public infrastructure, sustainable economic development, boosting employment and improving public administration capacities.

He specified that help will be carried out through loans amounting to €87 million, while €14.65 million is made up of grants and a €22 million loan through the German Development Bank (KfW).

Investment in public infrastructure projects, particularly energy and water supply facilities, will amount to €68.5 million, while €52.35 million will go for sustainable economic development and employment incentives while €2.8 million will be earmarked to improve public administration capacities and promote democratic values and civil society, he outlined.

The Deputy Prime Minister stated that since 2000 Germany has invested about €1 billion in the development of our country, of which one-third was made up of grants, while two-thirds included soft loans.

Germany is a key shareholder in the European Investment Bank (EIB), the World Bank and other international financial institutions and indirectly helped in giving a green light for the additional funding for Serbia, highlighted Djelic.

He disclosed that talks on future cooperation will also include social inclusion of the Roma and the poorest groups in society as well as technology and innovation.

German Ambassador to Serbia Wolfram Maas underlined that Germany wants Serbia as a partner in the EU and wants Serbia to be a reliable partner.

Maas maintained that political stability, good governance, rule of law, combating corruption and regional cooperation are important prerequisites for EU membership.