Aleksandar's Feed
Aug 13, 2013

Serbia may hire McKinsey consultant as finance minister -source

BELGRADE, Aug 13 (Reuters) – Serbia is in talks with a
U.S.-educated McKinsey consultant about becoming the country’s
new finance minister, following a cabinet reshuffle in July, a
political source and local media said on Tuesday.

Mladjan Dinkic was fired, along with at least three other
ministers, to avert a snap election. Serbian Prime Minister
Ivica Dacic had threatened to bring down the coalition
government unless Dinkic was replaced and his small United
Regions party ejected from the alliance.

Aug 8, 2013

Serb central bank holds off rate cut after minister’s ousting

BELGRADE (Reuters) – Serbia’s central bank kept its benchmark interest rate on hold at 11 percent on Thursday, erring on the side of caution after the ousting of Finance Minister Mladjan Dinkic.

Slowing inflation had offered scope for a cut but Dinkic’s departure has deepened concern among investors over the government’s growing budget gap, leaving the dinar currency at greater risk of a selloff.

Jul 8, 2013

Serbia pledges public sector, pension reform; IMF warns on deficit

BELGRADE (Reuters) – Serbia will begin reforming its costly public sector and pension system before the end of the year, the government said on Monday, as the IMF pressed the country again to do more to bring its high budget deficit under control.

Public sector wages and pensions in the former Yugoslav republic account for around half of state outgoings, and the high fiscal gap means the ruling coalition faces the politically unpalatable prospect of having to cut back on jobs, wages and pensions.

Jul 4, 2013

Serbia still understating budget gap, advisors say

BELGRADE, July 4 (Reuters) – Serbia is still understating
its budget deficit for the year, a top advisory body said on
Thursday, after the International Monetary Fund renewed calls
for the government to stop public debt soaring.

Serbia’s Fiscal Council, which advises the government on
fiscal policy, forecast the shortfall would hit 5.3 percent of
output rather than the 4.7 percent estimate in a budget revision
being debated by parliament.

Jul 1, 2013

Serbian deal with IMF unrealistic in 2013 – finance minister

BELGRADE (Reuters) – It would be unrealistic to expect Serbia to reach a new loan deal with the IMF this year, the country’s finance minister was quoted as saying on Monday, in remarks likely to disappoint investors.

The International Monetary Fund froze a previous 1 billion euro (852 million pounds) deal in early 2012 over broken spending promises and investors had been looking for a new deal to prop up the country’s increasingly shaky finances.

Jun 25, 2013

Serb government raises 2013 budget deficit target to 4.7 percent of GDP

BELGRADE, June 25 (Reuters) – Serbia’s government adopted a
revised 2013 budget on Tuesday, widening the targeted fiscal gap
by one percentage point to 4.7 percent of GDP due to higher
spending and low revenues.

The draft, which was sent to parliament for approval, sets
the budget gap at 178 billion dinars ($2 billion), up from 122
billion dinars or 3.6 percent of GDP, the government said in a
statement.

Jun 19, 2013

Serbia raises economic growth target to 2-3 pct

BELGRADE, June 19 (Reuters) – Serbia raised its full-year
economic growth target to between 2 and 3 percent, thanks to car
exports from its joint venture with Italian automaker Fiat
and prospects for a good harvest.

The ruling coalition, which is battling to rein in a
ballooning deficit, had forecast growth of 2 percent This year,
bouncing back from a 1.7 percent contraction in 2012.

Jun 17, 2013

UAE’s Etihad mulls equity stake in Serbia’s JAT Airways

BELGRADE/DUBAI, June 17 (Reuters) – The United Arab
Emirates’ (UAE) Etihad Airways has signed a preliminary
agreement with the Serbian government over a possible equity
investment in the Balkan country’s loss-making JAT Airways.

Serbia is looking to offload loss-making state enterprises,
including JAT, pharmaceuticals firm Galenika and the Zelezara
Smederevo steel mill in a bid to keep its budget deficit at
about 4.7 percent of gross domestic product (GDP) and secure
growth of around 2 percent this year.

Jun 13, 2013

Serbia may be on cusp of mining revival after years of decline

BOR, Serbia/LONDON, June 13 (Reuters) – Serbia’s mining
sector, stagnant since the wars that tore Yugoslavia apart in
the early 1990s, looks set for a revival as volatile commodity
prices increase the allure of countries in Europe with
established infrastructure and skilled labour.

Once home to a core copper and gold mining facility for the
former Yugoslavia, the town of Bor in the north-eastern corner
of Serbia has a history of mining dating back to Roman times.

Jun 7, 2013

Valeant abandons bid for Serbia’s Galenika

BELGRADE (Reuters) – Canada’s Valeant (VRX.TO: Quote, Profile, Research, Stock Buzz) has pulled out of a possible bid for a Serbian drug company in the wake of its $8.7 billion purchase of contact lenses maker Bausch & Lomb.

Citing last month’s acquisition deal, as well as the hostility of local unions towards the purchase of Galenika Pharmaceuticals, Valeant Pharmaceuticals International Inc said it had decided not to follow up its letter of intent relating to the company’s privatization.