Macroeconomic stability established

The Finance Minister, Mr. Mladjan Dinkic, told a press conference today that for the first time this year there is a surplus in the Republic of Serbia budget, totaling one billion 730 million Dinars, the consequence of which is macroeconomic stability.

He stressed that this year budget deficit would not exceed 30 billion Dinars and added that total cumulative deficit, in the first eight months, was reduced to 17.7 billion Dinars.

Comparing the reviews of the Republic of Serbia budget deficits in 2003 and 2004, Minister Dinkic emphasized that savings of 7.4 billion Dinars were achieved in the budget.

Dinkic said that total expenditure, for the first eight months, amounted 225 billion Dinars.

“The largest expenditures from the budget are transfers to the organizations of mandatory social insurance, transfers at federal level, salaries and bonuses for the employees, followed by subsidies to Serbian Railway company and for agriculture, allowances for social protection and “old” foreign-currency savings”, explained the Minister.

Talking about the payment of the Loan for Economic Rebirth, Dinkic said that in the first couple of days, some billion Euros was paid and added that everyone who was late to submit requests for their receivables can do it by April 30, 2005.

He also pointed out that the Serbian Government and the Ministry of Finance, paid 411 million Dinars as bonus for this year wheat, 389 million of which where given directly to the mills, to be paid out to farmers, and 22 million to the accounts of independent producers.