"Serbia ready to start talks with IMF" - Vučić

BELGRADE Serbia is ready to start talks with the IMF on a new program next month and wants to resolve possible obstacles, Aleksandar Vucic has told Bloomberg News. “The unprofitable state-run gas company Srbijagas with its debts of about one billion euros is a burden on public finances and the government is working to resolve it, so that it doesn't hinder IMF talks,” the news agency, headquartered in New York, quoted the Serbian deputy prime minister as saying. "Serbia ready to start talks with IMF" - Vucic Vucic said Serbia has been working closely with the IMF since October and is now in a position to start discussions on a precautionary program with the Washington-based lender. “We'll be open about the problems that we have. Talks can start as soon as possible, in February, I hope,” Vucic told Bloomberg. He said that Serbia is looking for a precautionary program with the IMF to support its planned reforms, convince investors that it is safe and stable for investment and open access to cheaper funding. Serbia will open accession talks with the European Union on January 21, which will help boost investment, according to Bloomberg. “We are now at a point of no return. I hope that after January 21, when we tick another box, that will be a clear signal to people from EU countries to come and invest,” Vucic said. Dominique Strauss-Kahn, a former IMF chief and an adviser to the Serbian government, has also encouraged the government to find solutions for RTB Bor, Serbia's sole copper miner, Vucic said. The government is now “urgently” seeking solutions for 800 million worth of sovereign-backed borrowing by Srbijagas, which the company cannot service, he added. The government will seek buyers or partners for at least 153 companies with 58,000 workers in 2014, to avoid closing them, which would fuel unemployment in a country where one in four is out of work, said the deputy prime minister. Germany's Mercedes-Benz is expected to start cooperation with at least one Serbian bus plant by March. Talks have also been underway with Ferrero chocolate manufacturer on agriculture investments, Vucic said. IMF negotiations won't be hampered should early parliamentary elections take place, Vucic said. Bloomberg reported that "a snap vote would delay access to USD 500 million in loans from the World Bank, which will support Serbia's budget, health system and cadastral reform." The 2014 outlook may be tough for Serbia, but its borrowing costs “will certainly not be higher” and economic “growth will be at least one percent” driven by further expansion in car industry, agriculture and food-processing as well as a halt in construction industry declines,” Vucic said. (Tanjug, file) Tanjug

"Serbia ready to start talks with IMF" - Vučić

Vučić said Serbia has been working closely with the IMF since October and is now in a position to start discussions on a precautionary program with the Washington-based lender.

“We'll be open about the problems that we have. Talks can start as soon as possible, in February, I hope,” Vučić told Bloomberg.

He said that Serbia is looking for a precautionary program with the IMF to support its planned reforms, convince investors that it is safe and stable for investment and open access to cheaper funding.

Serbia will open accession talks with the European Union on January 21, which will help boost investment, according to Bloomberg.

“We are now at a point of no return. I hope that after January 21, when we tick another box, that will be a clear signal to people from EU countries to come and invest,” Vučić said.

Dominique Strauss-Kahn, a former IMF chief and an adviser to the Serbian government, has also encouraged the government to find solutions for RTB Bor, Serbia's sole copper miner, Vučić said.

The government is now “urgently” seeking solutions for 800 million worth of sovereign-backed borrowing by Srbijagas, which the company cannot service, he added.

The government will seek buyers or partners for at least 153 companies with 58,000 workers in 2014, to avoid closing them, which would fuel unemployment in a country where one in four is out of work, said the deputy prime minister.

Germany's Mercedes-Benz is expected to start cooperation with at least one Serbian bus plant by March. Talks have also been underway with Ferrero chocolate manufacturer on agriculture investments, Vučić said.

IMF negotiations won't be hampered should early parliamentary elections take place, Vučić said.

Bloomberg reported that "a snap vote would delay access to USD 500 million in loans from the World Bank, which will support Serbia's budget, health system and cadastral reform."

The 2014 outlook may be tough for Serbia, but its borrowing costs “will certainly not be higher” and economic “growth will be at least one percent” driven by further expansion in car industry, agriculture and food-processing as well as a halt in construction industry declines,” Vučić said.