Jat to get partner, agriculture to get USD 400mn

A memorandum of understanding on strategic partnership between UAE's Etihad Airways and Serbian carrier Jat Airways has been announced for mid-April.

Source: Tanjug

Serbian Minister of Finance and Economy Mlđjan Dinkić, who is on a working visit to Abu Dhabi, made the announcement on Wednesday.

Dinkić also confirmed that the Abu Dhabi Fund for Development has approved USD 400 million for the development of Serbian agriculture.

Half of the money will be used for the construction of a network of irrigation canals across the entire Serbian territory, and the other half for the favorable long-term loans to farmers for purchase of equipment.

The partnership between Jat and Etihad implies a complete modernization of Jat's fleet, or the purchase of a number of new aircraft, an investment based on which Etihad will be able to take over a 49 percent stake in Jat and conclude a long-term contract to manage the company, the Ministry of Finance and Economy has said in a release.

Etihad has expressed its readiness to immediately help Jat to lease four new aircraft that the carrier should obtain before the beginning of the new tourist season in June.

The commercial cooperation between the two companies involves the introduction of daily flights from Belgrade to Abu Dhabi from mid-year, and, in cooperation with Air Berlin, Germany's second largest airline, of a Belgrade-Berlin-Chicago flight and also flights to and from three additional destinations in the United States.

Dinkić said that today's meeting with Etihad representatives was very successful, adding that they talked about strategic directions and details of future cooperation between Jat Airways and Etihad.

Business & Economy

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