TABAKOVIC: Emirates interested in founding a bank in Serbia

Jorgovanka Tabakovic (Photo: Mc.rs)

- At the beginning of March this year a legal entity submitted to NBS a request for providing a preliminary approval for bank establishing, that is currently in process, which means it is at the first stage, said Tabakovic for "Business Magazine", and televises B92.

Tabakovic has spoken for the magazine about an arrangement with the International Monetary Fund. Serbia needs the arrangement as a precaution, not a stand-by arrangement which would lead into deeper debts, she said.

As she stated, a new round of negotiations with the IMF will be held in autumn, after the budget readjustment and a few vital systematic laws. They should accelerate structural reforms and improve economic atmosphere.

- Personally, I expect the Government to be determined in implementation of fiscal consolidation and structural reforms which will lead us to the arrangement as a precaution with the IMF, that would be an additional guarantee for the investors, that Serbia has a responsible and sustainable economic policy- said Tabakovic.

Speaking about direct foreign investments in 2014, she stated there was a EUR 500 million income in the last five months.

Tabakovic finds opening of negotiations on Serbia’s membership in the EU, increase in macroeconomic stability and implementation of economic reforms a positive influence on foreign investments in the period to come.

She also expects stabilization of inflation at a low rate, reminding that the inflation has fluctuated at two percent since October last year. The Governor said that the low inflation is a result of proper measures of monetary policy, stable exchange rates, but also low aggregate demand and costs in food processing, caused by drop in price of agricultural products during 2013.