“Electricity price hike won’t affect inflation”

Head of the International Monetary Fund (IMF) Mission in Serbia Albert Jaeger says that electricity price hike should not jeopardize the planned inflation rate.

Izvor: Tanjug

Saturday, 26.02.2011.

14:05

Default images

Head of the International Monetary Fund (IMF) Mission in Serbia Albert Jaeger says that electricity price hike should not jeopardize the planned inflation rate. April inflation might slightly exceed the expected rate, but the effect will be temporary and relatively small in scope, Jaeger told daily Vecernje novosti. “Electricity price hike won’t affect inflation” He noted that the National Bank of Serbia (NBS) would react adequately to an inflation shock. “The recent strengthening of the Serbian dinar should help slow down the pace of price rises over the next few months, on condition that restraints in the domain of public sector salaries remain in force,” Jaeger stressed and added that certain structural reforms, such as those that would make room for greater competition and trade liberation, could help the country counter the inflation shock. The IMF official also said that for the time being, the IMF did not see any room in the country's budget for additional salary hikes, although limited funds could temporarily be available in case public revenues exceed the planned level. “The IMF and the Serbian government reached an agreement on conditions Serbia needs to fulfill so as to be able to carry out such payments,” Jaeger pointed out and specified that these payments needed to be limited, target-oriented and one-time. Albert Jaeger (Tanjug, file)

“Electricity price hike won’t affect inflation”

He noted that the National Bank of Serbia (NBS) would react adequately to an inflation shock.

“The recent strengthening of the Serbian dinar should help slow down the pace of price rises over the next few months, on condition that restraints in the domain of public sector salaries remain in force,” Jaeger stressed and added that certain structural reforms, such as those that would make room for greater competition and trade liberation, could help the country counter the inflation shock.

The IMF official also said that for the time being, the IMF did not see any room in the country's budget for additional salary hikes, although limited funds could temporarily be available in case public revenues exceed the planned level.

“The IMF and the Serbian government reached an agreement on conditions Serbia needs to fulfill so as to be able to carry out such payments,” Jaeger pointed out and specified that these payments needed to be limited, target-oriented and one-time.

Komentari 0

0 Komentari

Možda vas zanima

Podeli: