Dinkić wants more money for NIS

Minister of Economy Mladjan Dinkic on Wednesday said he "still believes" the price the Russians offered for NIS is too low. At the same time, the G17 Plus leader, appointed today to lead the negotiations with Gazpromneft, said that the part of the energy agreement that refers to natural gas is favorable for Serbia. Dinkic wants more money for NIS Dinkic told a news conference in Belgrade today that the government would insist on receiving a fair price for the Serbian oil monopoly NIS during direct talks with the Russians, once the agreement was ratified in parliament. The minister said that the subject of the negotiations should be both the investment and the sale price, because the contract did not specify exactly what type of assets were being sold and at what price. He said that the contract could be altered in such a way that would be acceptable to both sides, so that Serbia could assume part of the investment in NIS, while the Russians would raise the price of the stake they were buying. Earlier, it was announced that the Russians would pay EUR 400mn for a 51 percent holding in NIS, and invest a further EUR 500mn in the company’s modernization. Dinkic also announced that at the beginning of next week, talks on the strategic partnership between Zastava and Fiat would be "intensified". He highlighted the importance of the investment for Kragujevac, because it would, besides the investment in the factory itself, include investment in the city’s infrastructure and ecology, that would, he said, change the look of the city. The minister added that the investment would mean the arrival of 15 component manufacturers in the following twelve months. Dinkic said that another world automotive giant had “sent a signal” that it was ready to consider investing in production in Serbia, and that negotiations would begin in the second half of August, though he did not reveal the company’s name. Asked whether the policy of the staff cuts at Fiat’s headquarters in Italy would affect the signing of the contract with the Italian manufacturer, he said that this would not be the case in Serbia, because of the huge difference in salaries of Italian and Serbian employees. The minister said that Fiat would be one of the first companies to benefit from the new incentive funds for the automotive, IT, and electronics industries. For investments totaling more than EUR 200mn, and for creating 1,000 new jobs, Fiat would receive non-refundable aid amounting to 25 percent of the entire investment, as well as free land and communal infrastructure, Dinkic explained. A memorandum of understanding was signed between Fiat and Zastava in early May.

Dinkić wants more money for NIS

Dinkić told a news conference in Belgrade today that the government would insist on receiving a fair price for the Serbian oil monopoly NIS during direct talks with the Russians, once the agreement was ratified in parliament.

The minister said that the subject of the negotiations should be both the investment and the sale price, because the contract did not specify exactly what type of assets were being sold and at what price.

He said that the contract could be altered in such a way that would be acceptable to both sides, so that Serbia could assume part of the investment in NIS, while the Russians would raise the price of the stake they were buying.

Earlier, it was announced that the Russians would pay EUR 400mn for a 51 percent holding in NIS, and invest a further EUR 500mn in the company’s modernization.

Dinkić also announced that at the beginning of next week, talks on the strategic partnership between Zastava and Fiat would be "intensified".

He highlighted the importance of the investment for Kragujevac, because it would, besides the investment in the factory itself, include investment in the city’s infrastructure and ecology, that would, he said, change the look of the city.

The minister added that the investment would mean the arrival of 15 component manufacturers in the following twelve months.

Dinkić said that another world automotive giant had “sent a signal” that it was ready to consider investing in production in Serbia, and that negotiations would begin in the second half of August, though he did not reveal the company’s name.

Asked whether the policy of the staff cuts at Fiat’s headquarters in Italy would affect the signing of the contract with the Italian manufacturer, he said that this would not be the case in Serbia, because of the huge difference in salaries of Italian and Serbian employees.

The minister said that Fiat would be one of the first companies to benefit from the new incentive funds for the automotive, IT, and electronics industries.

For investments totaling more than EUR 200mn, and for creating 1,000 new jobs, Fiat would receive non-refundable aid amounting to 25 percent of the entire investment, as well as free land and communal infrastructure, Dinkić explained.

A memorandum of understanding was signed between Fiat and Zastava in early May.