Parliament adopts amendments to central bank law

BELGRADE The Serbian parliament adopted on Monday in Belgrade the bill amending and modifying the Law on the National Bank of Serbia (NBS). Its main goal is to "harmonize Serbia's legislative framework with EU regulations and ensure the continuity of the institution's work". Parliament adopts amendments to central bank law A total of 131 MPs voted in favor, while 13 voted against. The NBS had sought the amendments to be adopted as soon as possible, so that the election of members of the NBS Council of the Governor and of the director of the Administration for the Supervision of Financial Institutions could take place within the statutory deadline. Certain solutions from the previous amendments to the NBS law that were adopted at the beginning of August have sparked concerns and questioned the compliance of the legislation with the EU acquis, which is why it is important to remove them in the process of negotiations between the European Union and Serbia, the NBS said in a release. The main objectives of the adopted bill are strengthening the position of the central bank, particularly concerning the aspects of its independence and autonomy, and redefining and improving its functions, such as the protection of the rights and interests of consumers of financial services, ensuring the continuity of the work of members of the NBS bodies, and the right of NBS officials to appeal to the Constitutional Court of Serbia in case of their removal from office. The NBS Board of Governors will adopt the NBS Statute within three months from the date of enactment of the new law. Earlier on Monday, two Serbian parliament committees considered the proposed amendments to the bill amending and modifying the Law on the National Bank of Serbia (NBS). Before the committees on constitutional affairs and legislation, finance, state budget and control of public spending discussed the amendments in separate meetings, the Serbian parliament completed a debate in principle on the same subject. MPs put forward 17 amendments to the bill amending and modifying the NBS law, out of which the government accepted one, while at today's meeting the committee on finance proposed another two. During last week's debate in principle, Governor Jorgovanka Tabakovic underlined that the changes would ensure the harmonization with the EU regulations and smooth running of the institution's bodies, and explained that the objections voiced by the international institutions were justified, and that they stemmed from “an imprecise translation”. Noting that the European Commission and the European Central Bank (ECB) put forward certain objections to the latest changes to the law, and the opposition also criticized the fact that the government recommended that amendments should be rushed through parliament, but also that the NBS is headed by “a political figure”. The opposition Democratic Party (DS), the Liberal Democratic Party (LDP), the Democratic Party of Serbia (DSS), and the League of Social Democrats of Vojvodina (LSV) announced that they would not back the proposed changes- Democrats, Liberals and the LSV said that the amendments would not remedy the objections which the EU put forward three months ago, but rather further distance Serbia from the EU's important regulations, while the DSS underscored that the problem is that the declared goals are not being achieved -the ones related to the institution's staff and independence. This was the second time that the parliament is holding a debate on amendments to the NBS law, taking into account that three months ago, at the beginning of the government's term, the amendments to the law were passed, which provoked criticism from the European Commission. (Tanjug, file) Tanjug

Parliament adopts amendments to central bank law

A total of 131 MPs voted in favor, while 13 voted against.

The NBS had sought the amendments to be adopted as soon as possible, so that the election of members of the NBS Council of the Governor and of the director of the Administration for the Supervision of Financial Institutions could take place within the statutory deadline.

Certain solutions from the previous amendments to the NBS law that were adopted at the beginning of August have sparked concerns and questioned the compliance of the legislation with the EU acquis, which is why it is important to remove them in the process of negotiations between the European Union and Serbia, the NBS said in a release.

The main objectives of the adopted bill are strengthening the position of the central bank, particularly concerning the aspects of its independence and autonomy, and redefining and improving its functions, such as the protection of the rights and interests of consumers of financial services, ensuring the continuity of the work of members of the NBS bodies, and the right of NBS officials to appeal to the Constitutional Court of Serbia in case of their removal from office.

The NBS Board of Governors will adopt the NBS Statute within three months from the date of enactment of the new law.

Earlier on Monday, two Serbian parliament committees considered the proposed amendments to the bill amending and modifying the Law on the National Bank of Serbia (NBS).

Before the committees on constitutional affairs and legislation, finance, state budget and control of public spending discussed the amendments in separate meetings, the Serbian parliament completed a debate in principle on the same subject.

MPs put forward 17 amendments to the bill amending and modifying the NBS law, out of which the government accepted one, while at today's meeting the committee on finance proposed another two.

During last week's debate in principle, Governor Jorgovanka Tabaković underlined that the changes would ensure the harmonization with the EU regulations and smooth running of the institution's bodies, and explained that the objections voiced by the international institutions were justified, and that they stemmed from “an imprecise translation”.

Noting that the European Commission and the European Central Bank (ECB) put forward certain objections to the latest changes to the law, and the opposition also criticized the fact that the government recommended that amendments should be rushed through parliament, but also that the NBS is headed by “a political figure”.

The opposition Democratic Party (DS), the Liberal Democratic Party (LDP), the Democratic Party of Serbia (DSS), and the League of Social Democrats of Vojvodina (LSV) announced that they would not back the proposed changes- Democrats, Liberals and the LSV said that the amendments would not remedy the objections which the EU put forward three months ago, but rather further distance Serbia from the EU's important regulations, while the DSS underscored that the problem is that the declared goals are not being achieved -the ones related to the institution's staff and independence.

This was the second time that the parliament is holding a debate on amendments to the NBS law, taking into account that three months ago, at the beginning of the government's term, the amendments to the law were passed, which provoked criticism from the European Commission.