Despite crisis, PM sounds optimistic note

Serbia will manage to go through the economic crisis and embark on the road of development in the not so distant future, says PM Mirko Cvetkovic. Cvetkovic believes that the new plan his cabinet came up with is a "barrier against the economic crisis". Despite crisis, PM sounds optimistic note The government recently decided to cut some public sector wages and jobs, and introduce a number of new taxes. However, the prime minister warned that the crisis will hit all classes of society, and that his cabinet's job is to "distribute the burden of the crisis as evenly as possible". Still, Cvetkovic told Belgrade daily Vecernje Novisti that he "doubts the crisis would deepen", and said the measures undertaken so far have had effect, citing a halt to the drop of industrial production and stabilization of the dinar (RSD) exchange rate. The premier says that with the new measures, the government wished to lead by example and show that saving is possible. For this reason, he continued, all ministries have significantly cut expenses, while 8,000 people will be sacked from public sector in the next nine months. Cvetkovic stated that inflation this year "will not go over the projected level", and explained that recession stifles demand, and keeps prices down. According to the prime minister, the crisis is not putting a question mark over the country's EU integrations, "but it does impede the efficiency of that process, since European countries now pay more attention to their own economic difficulties". Cvetkovic thinks that the EU will drop the visa regime imposed on the Serbian citizens by the end of the year. The premier told the newspaper that he believes that his cabinet is stable, and said it is "in the interest of the citizens not to go to elections in this period, since elections do not contribute to the stability of the country".

Despite crisis, PM sounds optimistic note

The government recently decided to cut some public sector wages and jobs, and introduce a number of new taxes.

However, the prime minister warned that the crisis will hit all classes of society, and that his cabinet's job is to "distribute the burden of the crisis as evenly as possible".

Still, Cvetković told Belgrade daily Večernje Novisti that he "doubts the crisis would deepen", and said the measures undertaken so far have had effect, citing a halt to the drop of industrial production and stabilization of the dinar (RSD) exchange rate.

The premier says that with the new measures, the government wished to lead by example and show that saving is possible. For this reason, he continued, all ministries have significantly cut expenses, while 8,000 people will be sacked from public sector in the next nine months.

Cvetković stated that inflation this year "will not go over the projected level", and explained that recession stifles demand, and keeps prices down.

According to the prime minister, the crisis is not putting a question mark over the country's EU integrations, "but it does impede the efficiency of that process, since European countries now pay more attention to their own economic difficulties".

Cvetković thinks that the EU will drop the visa regime imposed on the Serbian citizens by the end of the year.

The premier told the newspaper that he believes that his cabinet is stable, and said it is "in the interest of the citizens not to go to elections in this period, since elections do not contribute to the stability of the country".