EU granted 100m EUR worth of aid for Serbia's budget

- European Union has granted 100m EUR to back the budget of Serbia and 85m EUR worth of aid for Western Balkans and Turkey to overcome effects of the economic crisis - European Commission announced today.

European Commission has set aside 100m EUR to help the budget of Serbia and contribute to stabilization of the country, as well as to alleviate economic and social consequences of the crisis - it is stated in the announcement delivered by the delegation of European Commission to Belgrade.

The aid for Serbia's budget, which will be set aside from the IPA funds, will be paid in two installments of 50m EUR each - in autumn 2009 and in the first half of year 2010.

Serbia, also, needs to make sure that the laws on competition and control of government aid be put in effect, as well as to keep developing administrative capacities of the institutions and bodies that are crucial for integration into EU.

It is added in the announcement that the budget deficit in Serbia is quickly growing because of the economic crisis and that the aid of the European Commission represents a supplement to the programme for macroeconomic stability, which has been created in association with IMF and World Bank.

These funds are part of the aid package intended for fight against the crisis in the Western Balkans, and they will reach the amount of 150m EUR in the Commission's donations and 600m EUR in form of the loans granted by international finance institutions, such as European Investment Bank (EIB) and European Bank for Reconstruction and Development (EBRD).