"Arrangement with WB more realistic than with IMF"

BELGRADE Finance and Economy Minister Mladjan Dinkic announced Monday a possibility of a financial arrangement with the World Bank (WB). It would finance Serbia's state budget "through support for the structural reforms," he was quoted as saying. "Arrangement with WB more realistic than with IMF" "We will try to get something that perhaps had not been planned, this something being a financial arrangement with the WB, in order to get support for the structural reforms and, in a way, cheap financing of the budget from WB funds," Dinkic said at a meeting of the parliament's Committee on Finance, State Budget and Control of Public Spending. As he put it, Serbia is ready to continue the talks with the IMF, but it is not realistic that a program with this financial institution be made this year. "It is more realistic for us to make a program with the WB," he said, adding that the IMF supports the reforms being implemented, but believes that salaries and pensions should be reduced. "We will try to make a program with the WB, without having a program with the IMF, this is the idea," the finance minister noted, adding that the WB supports structural reforms of the Serbian government. According to him, the talks with the WB, which is interested in a program with Serbia, will continue in the coming weeks. "As regards investment projects, we have enough arranged loans that have to be spent, while with the WB we are discussing financial arrangement - for them to back the budget through support for structural reforms," Dinkic pointed out. (Beta, file) "Growth of unemployment halted" After four years of growth of unemployment in Serbia, the labour survey from April this year shows that growth has stopped, Mladjan Dinkic said on Monday. "Unemployment is lower by 1.4 percent compared to the same period last year, when it stood at 25.5 percent. It is now 24.1," Dinkic told the parliament committee on finance, budget and public spending control. It is a high unemployment rate, but the growth has stopped, and it is also encouraging that employment went up by 2 percent compared to the same period last year. "Of course, we cannot be satisfied as long as unemployment stays above 20 percent," he noted, adding that the rate of informal unemployment, however, increased by 1.2 percent. It indicates we have a lot of room to legalize the grey economy, which is a priority for the Tax Administration in the future, he said. "Our goal is not to kick those in the grey economy out of the labour market, but to include them in the system," he underscored. Tanjug

"Arrangement with WB more realistic than with IMF"

"We will try to get something that perhaps had not been planned, this something being a financial arrangement with the WB, in order to get support for the structural reforms and, in a way, cheap financing of the budget from WB funds," Dinkić said at a meeting of the parliament's Committee on Finance, State Budget and Control of Public Spending.

As he put it, Serbia is ready to continue the talks with the IMF, but it is not realistic that a program with this financial institution be made this year.

"It is more realistic for us to make a program with the WB," he said, adding that the IMF supports the reforms being implemented, but believes that salaries and pensions should be reduced.

"We will try to make a program with the WB, without having a program with the IMF, this is the idea," the finance minister noted, adding that the WB supports structural reforms of the Serbian government.

According to him, the talks with the WB, which is interested in a program with Serbia, will continue in the coming weeks.

"As regards investment projects, we have enough arranged loans that have to be spent, while with the WB we are discussing financial arrangement - for them to back the budget through support for structural reforms," Dinkić pointed out.

"Growth of unemployment halted"

After four years of growth of unemployment in Serbia, the labour survey from April this year shows that growth has stopped, Mlađan Dinkić said on Monday.

"Unemployment is lower by 1.4 percent compared to the same period last year, when it stood at 25.5 percent. It is now 24.1," Dinkić told the parliament committee on finance, budget and public spending control.

It is a high unemployment rate, but the growth has stopped, and it is also encouraging that employment went up by 2 percent compared to the same period last year.

"Of course, we cannot be satisfied as long as unemployment stays above 20 percent," he noted, adding that the rate of informal unemployment, however, increased by 1.2 percent.

It indicates we have a lot of room to legalize the grey economy, which is a priority for the Tax Administration in the future, he said.

"Our goal is not to kick those in the grey economy out of the labour market, but to include them in the system," he underscored.