Minister praises "favorable loan"; opposition unconvinced

Minister praises "favorable loan"; opposition unconvinced

ABU DHABI, BELGRADE -- The USD 1 billion loan that the United Arab Emirates (UAE) granted to Serbia is very favorable, Serbian Minister of Finance Lazar Krstić has said.

It is also a sign of trust in the Serbian economy, according to him.

He told RTS on Thursday evening that the money will be used to implement the economic policy that will be defined by the budget review after the March 16 early elections and formation of a new government.

"A part of the loan will be used to stimulate the economy either through subsidized interest rates or through direct incentives for great investments both domestic and foreign ones," he said.

This will be discussed in greater detail after the parliamentary elections and in the process of harmonization of the budget review, Krstić said.

“This loan is not important only for the budget savings, but also because it confirms the credibility,” the minister of finance said.

The loan also shows the depth of the cooperation with the UAE, Krstić said.

“It shows that the cooperation is developing in the right direction and at the right pace and the future tranches will be discussed accordingly,” Krstić said answering a reporter's question on further loans from the UAE.

"New opportunities"

The agreement on a USD 1 billion loan to Serbia from the United Arab Emirates (UAE) will contribute to enhancing the cooperation and ties between the two countries and is in their mutual interest, also encouraging the private and public sectors in the UAE to seek investment opportunities in Serbia, said a statement released in Abu Dhabi.

The chairman of...