Krstic: Favorable loan sign of trust in Serbian economy

ABU DHABI - The USD 1 billion loan that the United Arab Emirates (UAE) granted to Serbia is very favorable, but it is also a sign of trust in the Serbian economy, Serbian Minister of Finance Lazar Krstic has said.

He said for Radio and Television of Serbia on Thursday evening that the money will be used to implement the economic policy that will be defined by the budget review after the March 16 early elections and formation of a new government.

A part of the loan will be used to stimulate the economy either through subsidized interest rates or through direct incentives for great investments both domestic and foreign ones, he said.

This will be discussed in greater detail after the parliamentary elections and in the process of harmonization of the budget review, Krstic said.

“This loan is not important only for the budget savings, but also because it confirms the credibility,” the minister of finance said.

The loan also shows the depth of the cooperation with the UAE, Krstic said.

“It shows that the cooperation is developing in the right direction and at the right pace and the future tranches will be discussed accordingly,” Krstic said answering a reporter's question on further loans from the UAE.