PODGORICA (Reuters) – Montenegro’s ruling alliance will have to form a coalition government with lawmakers from ethnic minorities after voters disillusioned with economic stagnation and corruption denied it a majority for the first time in 11 years.

With nearly all the votes counted after Sunday’s election, the alliance of Milo Djukanovic’s Democratic Party of Socialists (DPS) and two small parties looked set to get 39 seats in the 81-seat parliament.

PODGORICA (Reuters) – Montenegro’s ruling party leader Milo Djukanovic claimed victory in a parliamentary election on Sunday, extending his DPS party’s 23-year old rule in the ex-Yugoslav republic as it starts European Union accession talks.

The new government faces a stagnant economy and rising unemployment and will have to work hard to strengthen the rule of law and fight corruption, as required by Brussels.

PODGORICA (Reuters) – Montenegro’s ruling party seemed assured of retaining power after exit polls following a parliamentary election on Sunday indicated it took some 46 percent of the vote, more than twice its nearest rival.

That would see the Democratic Party of Socialists extend its two-decade grip on power as the former Yugoslav republic tries to join the European Union. DPS leader Milo Djukanovic may return as prime minister, a post he has held three times before.

PODGORICA (Reuters) – Montenegro’s ruling party hopes to extend its 23-year hold on power in a parliamentary election that began on Sunday and win a mandate to lead the ex-Yugoslav republic in talks on joining the European Union.

Despite economic stagnation and accusations of high-level corruption, the Democratic Party of Socialists (DPS) remains popular for having championed the independence of the country of 680,000 people six years ago.

BELGRADE, Oct 12 (Reuters) – A major increase of food prices
in September, following a poor harvest and long drought, has
driven Serbia’s inflation to 2.3 percent and the annual figure
to double digits, the statistics office said on Friday.

The drought in Serbia almost halved corn yields and
seriously affected sunflower, sugar beet and soy beans,
prompting government to limit exports. This also led to a higher
demand for cattle fodder and a hike in meat and milk prices.

BELGRADE (Reuters) – Serbia’s central bank raised its benchmark interest, already the region’s highest, by 25 basis points to 10.75 percent on Tuesday, reflecting rising inflation and debt concerns.

Other central banks in Central and Eastern Europe have cut rates over the past two weeks, as growth slows across the region, although Poland bucked the trend last week by keeping rates flat due to concerns over inflation.

BELGRADE (Reuters) – Serbia, which has banned Belgrade Pride – a march by gay activists planned for Saturday, has been told it must better protect human rights if it wants to join the European Union.

The EU, United Nations and Amnesty International were among those denouncing the ban, announced on Wednesday. The march was also banned last year.

BELGRADE (Reuters) – Serb police have banned a gay rights parade planned for Belgrade on Saturday and all other public gatherings this weekend, fearing attacks by rightist and ultra-nationalist groups.

Serbia outlawed the 2011 Belgrade Pride parade at the last moment, fearing a repetition of the previous year’s violence when dozens were injured and arrested as protesters opposed to the parade clashed with police.

BELGRADE (Reuters) – The head of Serbia’s powerful Orthodox Church urged authorities on Wednesday to ban a gay rights parade in Belgrade this weekend, saying it insulted Christianity.

Rightist groups have also threatened to hold a counter-rally on Saturday and disrupt an art exhibition in the Serbian capital, but police said they were ready to act.

BELGRADE (Reuters) – Authorities in Serbia are considering banning a gay rights parade and all other public gatherings in Belgrade this weekend, fearing a repeat of violent scenes two years ago when ultranationalists tried to disrupt a similar event.

Prime Minister Ivica Dacic, who also serves as interior minister, said on Monday the planned parade – whose purpose it to call for better and more gay rights in the predominantly Serbian Orthodox Christian society – was a major security risk.