Vujovic explains implementation of measures agreed with IMF

BELGRADE - Adopting the 2015 budget will be the toughest part of the first stage of the implementation of measures launched by Serbia as part of the deal with the International Monetary Fund (IMF), says Serbian Minister of Finance Dusan Vujovic.

In an interview with the business magazine CorD, Vujovic said that the budget must take into account the new economic measures, the laws required for implementing regulations and the necessary institutional changes.

Since the previous, unsuccessful arrangement with the IMF in 2011, Serbia's fiscal deficit has grown "to unsustainable levels and, hence, deepened the size and scope of the necessary adjustment," he said.

An agreement has now been reached with the IMF on "a range of important macro-fiscal policies and structural reforms related to failed commercial enterprises, state-owned monopolies in energy and infrastructure and, last but not least, public administration reform," the Serbian finance minister said.
"We were faced with a difficult task of demonstrating government resolve to continue with reforms", he said.

The most important thing is that Belgrade proves to the IMF that it can be a reliable partner and that the planned fiscal and structural reforms will put Serbia on a sustainable growth path, create jobs and benefit all citizens, Vujovic said.

Details of restructuring programmes were not discussed with the IMF, but the World Bank and European Bank for Reconstruction and Development will "launch coordinated activities in the coming weeks aimed at developing comprehensive restructuring programmes for EPS, Serbian Railways, Srbijagas and other most important public enterprises," Vujovic said.
"It is likely that these programmes will take two to...