EC economic reform recommendations probably in May

BELGRADE – Serbia may receive European Commission’s (EC) recommendations concerning economic reforms that need be pushed through in Serbia as early as in May, Freek Janmaat, head of the EU Delegation to Serbia’s European Integration Department, has said.

The recommendations will be based on best practices in the EU member states, and will concern the labor market, privatization, pension system and fiscal policy, Janmaat said during a meeting discussing the new approach taken by the EU in managing economic policies in the Western Balkans, held at the Dom Omladine cultural center in Belgrade on Friday.

He said the recommendations are not part of the body of European legislation and Serbia is not under obligation to adopt them, adding, however, that he hopes the country will do that anyway.

We hope that we will be able to reach an agreement on the recommendations with the Serbian government and that they would in a sense be seen as joint recommendations and therefore, in a way, be binding, Janmaat said.

Serbia will, he said, have one to two years to implement these recommendations, and they will then be evaluated by the Economic and Financial Affairs Council (ECOFIN) every January. Janmaat presented a 2014-2020 Instrument for Pre-Accessin Assistance (IPA) program, which includes direct budget support for Serbia.

A prerequisite for the budget support to the government is a drawn up action plan for the management of public finances. Since the drafting process could take a while, it is most realistic to expect the money for the budget to arrive in 2015, he said.

Janmaat also announced a two-year program for competitiveness and growth that will focus on sectors vital to economic competitiveness, adding...