"IMF will approve deal - but forget that money" - PM
Aleksandar Vucic says he expects the IMF Executive Board will grant Serbia a precautionary arrangement at its meeting on Monday.
Monday, 23.02.2015.
09:22
"IMF will approve deal - but forget that money" - PM
He noted that the Serbian government has put in place all the necessary measures that are important for signing the precautionary arrangement with the IMF.When asked for what Serbia could use this sum of around EUR 1 billion that would be made available to the country thanks to this arrangement, Vucic replied: “Forget that money!”
"The Serbian government is not concluding this arrangement because of money, but in order to realize the program and plans that it has made," the prime minister added.
“Until June or July, we do not need additional money, except for 'a rollover', which means for repaying old loans by taking out new ones. We need the arrangement with the IMF for security, investment, for getting the go-ahead for the (reform) plan for the future, for guarantees that Serbia is on the right track,” Vucic said.
Asked whether a part of that money could nevertheless go to spending, the prime minister said that is not an option, especially because it is the government's plan to trim the budget deficit in the coming years.
“In 2015, the planned (budget) deficit stands at around EUR 1.5 billion, which is much less than in previous years, and it could be even below that level,” Vucic said. As soon as next year, the deficit will have to go down, he noted, underscoring that the Serbian government would not be content until it reduces deficit to EUR 500 million.
“When that happens, Serbia will be among very successful countries, in terms of the budget and fiscal deficit. Then, we can aim for bigger growth in full sail,” Prime Minister Vucic concluded.
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