Russians to pay money for NIS at the beginning of second half of year 2009

The Minister of Finance of Serbia, Diana Dragutinović, said today (January 26, 2009) that Russia would pay 400m EUR for 51% of Petroleum Industry of Serbia (NIS) at the beginning of the second half of year 2009.

Although the Government included the incomes from sale of NIS in the budget for year 2009, she estimated that that late payment should not cause problems in the budget of Serbia because the largest budget expenses were expected in the second half of the year.

Dragutinović added that capital expenses would be financed once the money from privatization was on the Government’s account.

When asked whether Serbia would have to adopt rebalance of the budget because of the reduced economic growth, the Minister of Finance said that the budget rebalance was not ruled out as a possibility, but she said that it was still too early for such decisions.

- The information on incomes in January is not encouraging, but January is always a bad month – said the Minister.

She said that the budget déficit in 2008 was at the level of the projected one.

Ministarstvo finansija Republike Srbije

Gazprom Moscow

NIS a.d. Novi Sad

NIS a.d. Novi Sad

Vlada Republike Srbije

Diana Dragutinović

Contract on sale of majority package of stocks of Petroleum Industry of Serbia