VUCIC: Serbia Wants New Arrangement with IMF

Serbian President Aleksandar Vucic talked yesterday with the head of the Mission of the International Monetary Fund (IMF), Jan Kees Martijn, and said that Serbia wanted a new arrangement with that institution.

He said that a new arrangement with the IMF would mean security and a better position in the international financial market for Serbia.

Vucic and Martijn talked about the execution of the fifth and final, current arrangement “Policy Coordination Instrument”, which Serbia has with the IMF until January 2021 and the further possibilities of cooperation.

Vucic told RTS that there had also been talk about raising the salaries in the public sector and that the IMF representatives were skeptical about whether it would be possible with the state budget.

– They are skeptical, and we insisted and we showed enough room for salaries to be raised in the public sector. We will be the only country in Europe where salaries will be increased – he said.

He added that he would try to have the salaries of medical workers raised again and for the private sector to be helped with new exemptions, so as to mitigate the consequences of the coronavirus epidemic.

The average salary in Serbia, according to Vucic, could be EUR 540 in March 2021.

The meeting was also attended by Serbian Finance Minister Sinisa Mali and NBS Governor Jorgovanka Tabakovic.

“Serbia best in Europe this year when it comes to GDP growth”

According to the new projection of the IMF that Serbia's GDP would drop by 1.5% this year, Serbia is the best in Europe, Vucic said.

After a video-talk with Martijn, he told RTS that Serbia would end 2020 with “the gold medal”, because it will have a minimal drop of the GDP compared to other countries.

According to him, the GDP in Greece will drop by 9.5% this year, in Montenegro by 12%, in Slovenia by 6.7%, in Croatia by 9%, in Albania by 7.5% and in Hungary by 6.1%.

The previous two projections by the IMF were that, in 2020, Serbia's GDP would drop by 3% and 2.5% respectively, and the new projection, putting it at 1.5%, will be announced soon, according to Vucic.

Predsedništvo Republike Srbije

Međunarodni monetarni fond-MMF Beograd

Presidency of Serbia

International Monetary Fund

IMF

Aleksandar Vučić

Jan Kees Martijn

new arrangement with the IMF

GDP drop