“Dinar must remain stable”
Daily Blic stated that leading economic officials in Serbia are determined to secure the stability of the domestic currency into the New Year.
Saturday, 12.12.2009.
11:03
Daily Blic stated that leading economic officials in Serbia are determined to secure the stability of the domestic currency into the New Year. That is the only way to ensure a normal business atmosphere, Blic stated, adding that if the dinar is not stable, capital from Serbia is likely to move into neighboring countries. “Dinar must remain stable” In talks with government officials, businesspeople have repeated many times that the predictability of the exchange rate is one of the main conditions needed to get out of the recession. President of the ITM Group holding company, Toplica Spasojevic, told Blic that an unstable exchange rate is seen as punishment to those that invested, created new jobs, expanded into a new market and based their development on credit. The same goes for citizens who took care of life necessities by taking out loans from banks. “We are all being punished with this increase in the value of the euro,” Spasojevic said. He said that the direct consequence of the decrease in the value of the dinar is the decrease in jobs, less money coming in from taxes, and the danger of investments moving out of Serbia and into other regional countries. “No one can convince me that the economy in Macedonia, Bosnia-Herzegovina and Croatia is better than ours, so they have a stable exchange rate. The creators of the economic policies must Be aware that the danger is not inflation, but greater recession,” Spasojevic said. “Why did no one react on time when the euro started getting stronger? That is what the arrangement with the IMF is for. Either that, or there is a new goal that we are not aware of. If the government cannot ensure a stable ambient for business, then the question should be taken to the parliament. We businesspeople are asking whether this country even wants a prosperous economy and successful industry, or if it wants us to move all our capital to regional countries,” Spasojevic added.
“Dinar must remain stable”
In talks with government officials, businesspeople have repeated many times that the predictability of the exchange rate is one of the main conditions needed to get out of the recession.President of the ITM Group holding company, Toplica Spasojević, told Blic that an unstable exchange rate is seen as punishment to those that invested, created new jobs, expanded into a new market and based their development on credit.
The same goes for citizens who took care of life necessities by taking out loans from banks.
“We are all being punished with this increase in the value of the euro,” Spasojević said.
He said that the direct consequence of the decrease in the value of the dinar is the decrease in jobs, less money coming in from taxes, and the danger of investments moving out of Serbia and into other regional countries.
“No one can convince me that the economy in Macedonia, Bosnia-Herzegovina and Croatia is better than ours, so they have a stable exchange rate. The creators of the economic policies must Be aware that the danger is not inflation, but greater recession,” Spasojević said.
“Why did no one react on time when the euro started getting stronger? That is what the arrangement with the IMF is for. Either that, or there is a new goal that we are not aware of. If the government cannot ensure a stable ambient for business, then the question should be taken to the parliament. We businesspeople are asking whether this country even wants a prosperous economy and successful industry, or if it wants us to move all our capital to regional countries,” Spasojević added.
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