IMF: Electricity and Gas Prices Need to Increase

Donal McGettigan, the new head of the IMF Mission to Serbia, emphasized that Serbia needed to continue implementing a rigid fiscal policy and that the IMF would insist on it. He said that the growth of salaries and pensions needed to be limited.

The new standby arrangement worth EUR 2.1 billion is based on the reform of the energy sector, public companies and small and medium enterprises.

– Energy prices will have to increase and that is the essence of the program. Electricity and gas prices must not remain at such a low level. EPS should go through a restructuring program because of the bad management and low investments – said McGettigan.

Međunarodni monetarni fond-MMF Beograd

Elektroprivreda Srbije ad Beograd

International Monetary Fund

MMF

Elektroprivreda Srbije

EPS

Donal McGettigan

IMF Mission to Serbia

implementation of rigid fiscal policy

standby arrangement with IMF

reform of energy sector

reform of public enterprises

reform of small enterprises

reform of medium enterprises

electricity price increase

gas price increase

restructuring of EPS