Serbia hopes to start loan talks with UAE on Oct 26

  • Share via facebook
  • Tweet this
  • Bookmark and Share

Serbia's Deputy Prime Minister Aleksandar Vucic plans to travel to the UAE next week to negotiate terms of a 2-3 billion euro ($2.7-4 billion) loan seen as crucial to the country's financial stability.

Last week Belgrade launched measures to trim a budget deficit estimated by the International Monetary Fund at above 7 percent of output and debt forecast to reach about 65 percent of GDP next year.

To finance debt in 2014 and 2015 and invest in infrastructure and industry, the country will need additional borrowing, including a new Eurobond and loans from sovereign lenders including the UAE, China and Russia.

On Tuesday, Mladjan Dinkic, the head of a government body tasked with economic cooperation with the UAE and former finance minister, said he and Vucic would travel to Abu Dhabi on October 26 to start talks over the loan, which could be released in 2014.

"It's not small money, it would be virtually impossible to get it from anyone but the Emirates, but we will have to be patient and wait for everything to be agreed," Dinkic told reporters on the sidelines of a business conference in Belgrade.

Earlier this year Vucic, who is also the head of the Serbian Progressive Party, senior partner in the ruling coalition, said Serbia was seeking a long-term, low-interest loan from the UAE.

Serbia and the Gulf country have already agreed a $400 million sovereign loan for agriculture from the UAE's Development Fund and another $400 million from the Al Dahra food producer.

In August, the wealthy Gulf state's Etihad Airways purchased a 49 percent stake in Serbia's indebted Jat Airways. The UAE also wants to invest in Serbia's weapons industry.

Related:
Join the Discussion

Disclaimer:The view expressed here by our readers are not necessarily shared by Arabian Business, its employees, sponsors or its advertisers.

Please post responsibly. Commenter Rules

  • No comments yet, be the first!

Enter the words above: Enter the numbers you hear:

All comments are subject to approval before appearing

Further reading

Features & Analysis
Finance talk with RAKBANK

Finance talk with RAKBANK

StartUp sat down with RAKBANK’s head of personal banking, Ian...

Tips from the top: Hisham Al Gurg

Tips from the top: Hisham Al Gurg

High profile investor and entrepreneur Hisham Al Gurg discusses...

1
The hubsters' ecosystem

The hubsters' ecosystem

Tamara Pupic visits Impact Hub Dubai, the first local branch...

Most Discussed
  • 24
    World's most pierced man refused entry to the UAE

    Tolerance has its limits everywhere including Dubai and those who considered Dubai a lawless circus were held accountable...so thank you Dubai authorities... more

    Thursday, 21 August 2014 10:51 PM - Khalil
  • 23
    Baby NOT on board?

    Some of you cry babies need to get your own personal apartments on the plane ! You cry more then the babies I have seen in my travels. LOL more

    Thursday, 28 August 2014 9:10 AM - Jim
  • 21
    Israel “must be punished” over Gaza, says Dubai police chief

    This high moral ground that Mick is talking abt sound very familiar. May I remind Mick that the US & its British ally alone killed over 1 million innocent... more

    Thursday, 7 August 2014 4:12 PM - Mathew